• The Board's proposal was approved
• Central Asia Gold has decided to bring forward the date of publishing the
interim report for the first quarter 2008 from May 28 to Monday, May 26. This
in order to enable a timely distribution of the new issue prospectus.
An Extraordinary General Meeting ("EGM") in Central Asia Gold ("CAG") was today
conducted in Stockholm. The main agenda item was to approve the Board's
proposal for a new issue of units encompassing shares and subscription options
amounting to some MSEK 65. The proposal of the new issue is in brief:
• Parties who are registered as shareholders in the Company will be granted one
(1) unit right for each existing share. Each seven (7) unit rights grant the
right to subscribe to one (1) unit ("Unit"). One (1) Unit contains two (2) new
shares and one (1) subscription option, the subscription option giving the
right to subscribe to one (1) new share in the Company. Subscription may only
be made in Units and thus shares and subscription options may not be subscribed
to individually. Allocation may only occur in Units. However the shares and
subscription options will be divided after subscription and registration, and
thereafter the shares and subscription options may be traded separately and not
in Units at NGM Equity.
• The subscription price per Unit is 1.10 SEK. The subscription price per share
will be 0.55 SEK and thus the subscription options are issued free of payment.
• Subscription of shares by exercising subscription options may occur from the
day the resolution is registered with the Swedish Companies Registration Office
and until the 5th December 2008. The strike price will be 0.55 SEK. The
subscription options shall be traded at NGM Equity.
• The new issue is fully guaranteed by commitments to subscribe from board
members, management of the company and major shareholders and in addition by a
guarantee consortium.
• Central Asia Gold will be provided with 64.8 MSEK before issue costs through
the share issue and another 32.4 MSEK given full utilization of all
subscription options.
• Last day of trading in the share including subscription rights: 23rd May 2008
• The record date for obtaining subscription rights: 28th May 2008
• Subscription period: from the 9th June 2008 to the 23rd June 2008
After a presentation by company management and a short discussion the
Extraordinary General Meeting approved of the Board's proposal.
At the same time it was informed that Central Asia Gold intends to publish its
interim report for the first quarter already on Monday, May 26 2008. This is
two days earlier than previously announced. The reason is that this will
facilitate a timely distribution of the new issue prospectus.
For more information, please contact:
MD Torbjorn Ranta, tel: +46 (0)8 624 26 80, fax: +46 (0)8 624 37 20, mobile
phone: +46 (0)70 8 85 55 04, e-mail: torbjorn.ranta@centralasiagold.se,
Website: www.centralasiagold.se, Post- and visiting address: Brovägen 9, SE-182
76 Stocksund
Central Asia Gold AB is a Swedish mining company focused on gold production and
exploration in Russia and Mongolia in the central parts of Asia. The gold
production was initiated in late January 2005 and the assets today encompass
some 645,000 troy ounces (1 troy ounce = 31.1 g) of C1/ C2 Russian gold
reserves.
Cautionary Statement: Statements and assumptions made in this report with
respect to Central Asia Gold AB's ("CAG") current plans, estimates, strategies
and beliefs, and other statements that are not historical facts, are
forward-looking statements about the future performance of CAG. Forward-looking
statements include, but are not limited to, those using words such as "may",
"might", "seeks", "expects", "anticipates", "estimates", "believes",
"projects", "plans", strategy", "forecast" and similar expressions. These
statements reflect management's expectations and assumptions in light of
currently available information. They are subject to a number of risks and
uncertainties, including, but not limited to, (i) changes in the economic,
regulatory and political environments in the countries where CAG operates; (ii)
changes relating to the geological information available in respect of the
various projects undertaken; (iii) CAG's continued ability to secure enough
financing to carry on its operations as a going concern; (iv) the success of
its potential joint ventures and alliances, if any; (v) exchange rates,
particularly between the Russian rouble and the U.S. dollar. In the light of
the many risks and uncertainties surrounding any gold production and
exploration company at an early stage of its development, the actual results
could differ materially from those presented and forecast in this report. CAG
assumes no unconditional obligation to immediately update any such statements
and/or forecasts.
