Staccato Gold Announces Business Combination With Timberline Resources

 

VANCOUVER, BC - Staccato Gold Resources Ltd. reported that it has entered into a definitive agreement with Timberline Resources Corporation whereby Timberline will acquire, through a court-approved plan of arrangement, all of the issued and outstanding common shares of Staccato by way of a share exchange.

Upon completion of the Arrangement, Timberline will have approximately 56 million common shares issued and outstanding, with 73 million shares on a fully diluted basis. Current Timberline shareholders will own approximately 74% of the shares outstanding and former Staccato shareholders will own approximately 26%. On a fully diluted basis, Timberline will be owned 71% by current Timberline shareholders and 29% by current Staccato shareholders.

Pursuant to the Agreement, the holders of a portion of the outstanding Staccato options and the holders of all Staccato warrants will be entitled to receive Timberline options and warrants at the Exchange Ratio and with corresponding changes to the exercise price based on the Exchange Ratio. The balance of the outstanding Staccato options will either be exchanged for Staccato shares or cancelled at closing.

The company’s address is Suite 2060, 777 Hornby Street,

Vancouver, BC V6Z 1T7, 604.682.8789, email: [email protected], www.staccatogold.com.