Golden Meadows, Idaho
On April 6, 2011, Vista and Midas Gold Inc. completed the Combination Agreement which resulted in the combination of Midas' Hangar Flats and West End deposits and Vista's Yellow Pine project into a new Canadian private company, Midas Gold Corp. ("Midas Gold"). In exchange for the contribution of its Yellow Pine assets, Vista US was issued 30,402,615 common shares in the capital of Midas Gold ("Midas Gold Shares").
Concurrently with the Combination, Midas Gold completed a private placement of 6,129,800 Midas Gold Shares at a purchase price of Cdn.$2.50 to raise gross proceeds of Cdn.$15,324,500 (the "Private Placement"). Vista purchased an additional 1,400,000 Midas Gold Shares through the Private Placement for an aggregate purchase price of Cdn.$3,500,000.
Following the Combination and the Private Placement, Vista and Vista US together hold 31,802,615 Midas Gold Shares representing 37.4% (basic) and 34.2% (fully diluted basis) of the issued and outstanding Midas Gold Shares. Based on the offering price of the private placement, Vista's holding in Midas Gold has an initial value of approximately Cdn.$80 million.
By retaining this interest in the combined properties, Vista will have a significant interest in a major gold district and gain exposure to the potential for new discoveries on Midas Gold's properties.
For further information on Midas Gold Corp.'s Golden Meadows Project, please visit their website at www.midasgoldinc.com.