ASX/Media Announcement
3 November 2016
Share Purchase Plan
Golden Rim Resources Ltd (ASX: GMR, Golden Rim, Company) announced its Share Purchase Plan (Plan) on 26 October 2016. The Company is pleased to inform that the attached Plan documentation will be dispatched to eligible shareholders later today.
The Company will offer eligible shareholders the opportunity to participate in the Plan by subscribing for up to $15,000 worth of fully paid ordinary shares in the Company (Shares) (subject to any scale back) at an issue price of $0.008 per Share without having to pay brokerage or other transaction costs (Offer). The Offer to shareholders is at a discount of 13% to the 5 day volume weighted average price of Shares sold on ASX over the last 5 days on which sales in the Shares were recorded prior to the Company's announcement regarding the Plan on 26 October 2016. Pursuant to the terms and conditions of the Offer, eligible shareholders will be offered the option to acquire $1,000, $2,500, $5,000, $10,000 or $15,000 worth of Shares.
Pursuant to the Offer, the Company will issue up to a maximum of 225,000,000 Shares which would raise a maximum of $1,800,000. However, should total demand exceed this amount, the Directors reserve the right to accept oversubscriptions (subject to the maximum number of Shares the Company can issue under the Offer, which is 30% of the Company's pre-Offer issued capital), or to scale-back applications in their absolute discretion.
The Company intends to use the funds raised under the Offer to: immediately expand the proposed drilling program at Paguanta to enable the Company to test the significant extensions to the mineralisation suggested by recent geological mapping and the MT geophysical survey; to continue drilling early in the new year, should initial results from the drilling program be positive; to review new project opportunities for the Company; for administration costs; and for general working capital.
-ENDS-
Golden Rim Resources Ltd I ABN 39 006 710 774 I Office 7, Level 2, 609 Canterbury Road, Surrey Hills, VIC 3127, Australia
www.goldenrim.com.au I [email protected] I T + 61 3 9836 4146
69624v3
For further information, please contact:
Hayley Butcher
Golden Rim Resources Ltd Company Secretary
+61 0409 880 009
Further Company Information
E: [email protected] W:goldenrim.com.au
Capital Structure:
Issued Shares: 1,438,520,000
Unlisted Options: 129,032,500
Share Registry:
Link Market Services Limited Central Park Level 4
152 St Georges Terrace Perth WA 6000
Telephone: (+61) 1300 554 474
Fax: 02 9287 0303
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3 November 2016
Dear Shareholder
SHARE PURCHASE PLAN
On behalf of the Board of Golden Rim Resources Limited ABN 39 006 710 774 (Company), I am pleased to offer eligible shareholders the opportunity to participate in the Company's Share Purchase Plan (Plan), by subscribing for up to $15,000 worth of fully paid ordinary shares in the Company (Shares) (subject to any scale back) without having to pay brokerage or other transaction costs, and subject to the enclosed terms and conditions (Offer).
The Company is seeking to raise up to $1,800,000 (a total of 225,000,000 Shares), which will be used to immediately expand the proposed drilling program at the Paguanta project in Chile, to enable the Company to test the significant extensions to the mineralisation suggested by recent geological mapping and the MT geophysical survey; to continue drilling early in the new year, should initial results from the drilling program be positive; to review new project opportunities for the Company; for administration costs; and for general working capital. However, the Directors reserve the right to accept oversubscriptions, or to scale back applications in their absolute discretion.
The Offer is made without a prospectus or other disclosure document under the Corporations Act 2001 (Cth) (Corporations Act) in reliance on Australian Securities and Investments Commission Class Order [CO 09/425] (Class Order).
The key terms of the Offer are set out in the table below, however this is only a summary so please read the full terms and conditions of the Offer (Terms and Conditions) enclosed carefully as if you accept the Offer, you will be bound by them:
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Offer to Eligible Shareholders only
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The Offer is only made to Eligible Shareholders, which means you were required to be registered as a holder of Shares:
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as at 5.00pm (AEDT) on 25 October 2016 (Record Date); and
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whose registered address is in Australia or New Zealand (provided that if your registered address is in New Zealand you must also hold Shares in the Company on the Offer opening date).
The Offer is also made to Eligible Shareholders who are "custodians" as defined in the Class Order to participate in the Offer on behalf of certain eligible beneficiaries, subject to the Terms and Conditions.
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Golden Rim Resources Ltd I ABN 39 006 710 774 I Office 7, Level 2, 609 Canterbury Road, Surrey Hills, VIC 3127, Australia
www.goldenrim.com.au I [email protected] I T + 61 3 9836 4146
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Participation is optional, but not transferable
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Participation in the Offer is optional. However, you cannot transfer your rights to purchase Shares under the Offer to anyone else.
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Issue price
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The issue price is $0.008 per Share (Issue Price), which represents a discount of:
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11.1% to the closing price of $0.009 per Share on ASX on the Record Date (being the last trading day prior to announcement of the Offer); and
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13.0% to the five day volume weighted average price of Shares sold on ASX of $0.0092 over the last five days on which sales in the Shares were recorded before the Offer was announced.
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Minimum/maximum parcels of Shares
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You may apply for Shares in parcels with a dollar value of $1,000,
$2,500, $5,000, $10,000 or $15,000.
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Oversubscriptions and scale back
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The Company intends to raise $1,800,000 under the Offer (a total of 225,000,000 Shares). However, the Directors reserve the right to accept oversubscriptions, or to scale back applications in their absolute discretion. The maximum number of Shares which may be issued under the Offer as permitted by the ASX Listing Rules is 30% of the Company's pre-Offer issued capital, which is a maximum of 431,556,000 Shares. If the Company does scale back applications you may receive less than the parcel of Shares that you apply for. If this happens, excess funds will be refunded to you without interest.
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Opening and Closing Dates
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The Offer will open at 9.00am (AEDT) on 3 November 2016 and will remain open until 5.00pm (AEDT) on 24 November 2016 (unless extended) (Closing Date).
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How to apply for Shares
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To apply for Shares under the Offer you can either:
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Pay by BPAY®: Make payment by BPAY® in accordance with the instructions on the Application Form. Eligible Shareholders based outside Australia cannot use BPAY® unless they have an Australian bank account.
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Pay by cheque, bank draft or money order: Complete and return the enclosed personalised application form (Application Form), together with a cheque, bank draft or money order in accordance with the instructions on the Application Form.
Application Forms must be received by the Company's share registry, or a payment made by BPAY® must be received by the Company, by the Closing Date.
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The Offer does not take into account the individual investment objectives, financial situation, tax position or particular needs of any Eligible Shareholder. Accordingly, before making a decision whether or not to accept the Offer, you should consult with your financial or other professional adviser. This document is not, nor is the Offer, a recommendation to purchase Shares.
You should be aware that the market price of Shares on ASX may rise and fall between the date of the Offer, and the date that the Shares are issued pursuant to the Offer. As a result, the number of Shares that you receive may be more or less than the number you might calculate using the market price of Shares on the date that they are issued. It also means that it is possible that up to or after the issue date of the Shares under the Offer, you may be able to buy Shares at a lower price than the Issue Price.
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