Orosur Mining Inc. (TSX:OMI), which operates out of Colombia and Uruguay, saw its shares soar on word that a court in Uruguay has approved the payment plan agreement between the Company’s wholly-owned subsidiary, Loryser SA and Loryser’s creditors.
The reorganization kicked off in June 2018. Then, in December, Loryser proposed the Agreement to which 71.48% of its creditors consented. The Court decree was publicly posted last Friday, thus, the Agreement is legally binding on all creditors and that Intervenor’s control over Loryser ceases.
The decision means that the net proceeds from the sale of Loryser’s assets in Uruguay, together with the issuance of 10 million common shares in Orosur, shall fully satisfy all amounts owing by Loryser to its creditors, as well as provide funds for Loryser to conduct this process and manage the orderly closure of its operations
What a relief, exclaimed holders of OMI shares, which approached noon ET ahead four cents, or 72.7%, to 9.5 cents, on volume of 1.4 million shares
