Never again will investors hear the name Cream Minerals.
The 45+ year old mineral exploration company is finally changing its name after its latest failed iteration.
After being halted this morning, Cream announced a proposed name change to Agave Silver Corp., and a significant restructuring on the corporate level with a new board and share structure.
The company intends to do a 10:1 rollback bringing the shares outstanding to approximately 15.5 million, and a $1 million financing (10 million units at $0.10). $600,000 of which will be subscribed to by Frank Lang who will hold over 20% of the stock after it’s all said and done.
Lang has been the driving force behind the company for over four decades. A month ago, Lang tried to take Cream's major asset, the Nuevo Millenio deposit, private for $600,000. That appears to have not worked out. Cream is keeping the property and now Lang is putting that money to use in the company's treasury.
Current Cream President and CEO Michael O’Connor, and fellow directors Christopher Hebb, Gerald Feldman, Robin Merrifield and Dwayne Melrose will not stand for re-election. Proposed new President and CEO Ronald Lang will stand for re-election.
Mining legend Ben Ainsworth is joining the board. Ainsworth is the current CEO of Alpha Minerals, a company whose shares have soared from $.02 to over $7 the past year. Ainsworth has his hands full with Alpha's tremendous success at present, however his name does lend credibility to a junior with a tight share structure. Darryl Drummond will also be added to the board.
For now, the company appears to remain dedicated to Nuevo Millenio, but watch for property acquisitions with their refurbished treasury.
For over 45 years, Cream Minerals has been a relevant deal on Bay and Howe Streets, although it never lived up to its promises. Lets hope Agave Silver can do a bit better.
Here’s the release: Cream Minerals Announces Corporate Reorganization and Financing
Flashback: The Cream sours: Frank Lang’s Cream Minerals punts the Nuevo Milenio deposit