Golden Horse Minerals to spin out Sorrel Copper Project
Key points
- Golden Horse Minerals will spin out its Sorrel Copper Project into a separate public, unlisted company called Sorrel Metals.
- The announcement left the Golden Horse Minerals share price unchanged at $0.44.
- The demerger allows the company to focus on its core gold asset while giving existing shareholders direct exposure to copper.
Golden Horse Minerals (ASX:GHM) announced a plan to spin out its standalone Sorrel Copper Project in the Northern Territory into a new unlisted public company named Sorrel Metals.
The structural split separates the company's core Southern Cross Gold Project from its copper assets through a Canadian Plan of Arrangement.
“The proposed spin out is a logical pathway for existing shareholders to retain direct exposure to the potential upside of the Sorrel Copper Project via the pro rata in-specie distribution of shares in Sorrel Metals,” said Golden Horse Minerals Managing Director Nicholas Anderson.
The spin-out will involve a pro rata in-specie distribution of Sorrel Metals shares to existing shareholders, who will also receive corresponding options and performance rights.
Golden Horse Minerals stated that the deal aims to maximise shareholder value while maintaining focus on its flagship gold project.
Following the announcement, the Golden Horse Minerals share price was unchanged at $0.44.
The company is obtaining an independent valuation and seeking an Australian Taxation Office class ruling to determine tax treatment for eligible investors.
Shareholders are scheduled to vote on the transaction resolution at an annual and special meeting planned for late December 2026 or early 2027.
