TORONTO, May 3, 2018 /CNW/ - Today, Banro Corporation (the
"Company") announced the effectiveness of its Amended
Consolidated Plan of Compromise and Reorganization (the
"Recapitalization Plan"), which, as previously announced,
was sanctioned by the Ontario Superior Court of Justice (Commercial
List) on March 27, 2018 in connection
with the implementation of the Recapitalization Plan and the
Company's emergence from protection under the Companies' Creditors
Arrangement Act ("CCAA"). Upon effectiveness of the
Recapitalization Plan, all of the Company's existing equity and any
and all equity related claims were cancelled. Furthermore, pursuant
to an order from the Ontario Securities Commission, as of the
effective time of the Recapitalization Plan, the Company ceased to
be a reporting issuer in each jurisdiction of Canada in which it was a reporting issuer.
In connection with the effectiveness of the Recapitalization
Plan, the Company intends to file a Form 15 with the U.S.
Securities and Exchange Commission to voluntarily terminate the
registration of its equity securities under Section 12(g) of the
Securities Exchange Act of 1934, as amended.
Banro Corporation is a Canadian gold mining company
focused on production from the Twangiza and Namoya mines, which
began commercial production in September
2012 and January 2016
respectively. Banro's longer-term objectives include the
development of two additional major, wholly-owned gold projects,
Lugushwa and Kamituga. The four projects, each of which has a
mining license, are located along the 210 kilometres long
Twangiza-Namoya gold belt in the South Kivu and Maniema Provinces
of the Democratic Republic of the
Congo ("DRC"). All business activities are followed
in a socially and environmentally responsible manner.
Cautionary Note Concerning Forward-Looking
Statements
This press release contains forward-looking statements. All
statements, other than statements of historical fact, that address
activities, events or developments that the Company believes,
expects or anticipates will or may occur in the future including,
without limitation, the Company's intentions for the future of its
business operations and long-term strategy, and the Company's
commitment to its employees and suppliers, are forward-looking
statements. These forward-looking statements reflect the current
expectations or beliefs of the Company based on information
currently available to the Company. Forward-looking statements are
subject to a number of risks and uncertainties that may cause the
actual results of the Company to differ materially from those
discussed in the forward-looking statements, and even if such
actual results are realized or substantially realized, there can be
no assurance that they will have the expected consequences to, or
effects on the Company. In addition, actual results or events could
differ materially from current expectations due to instability in
the eastern DRC where the Company's mines are located; political
developments in the DRC; uncertainties relating to the availability
and costs of financing or other appropriate strategic transactions;
uncertainty of estimates of capital and operating costs, production
estimates and estimated economic return of the Company's projects;
the possibility that actual circumstances will differ from the
estimates and assumptions used in the economic studies of the
Company's projects; failure to establish estimated mineral
resources and mineral reserves (the Company's mineral resource and
mineral reserve figures are estimates and no assurance can be given
that the intended levels of gold will be produced); fluctuations in
gold prices and currency exchange rates; inflation; gold recoveries
being less than expected; changes in capital markets; lack of
infrastructure; failure to procure or maintain, or delays in
procuring or maintaining, permits and approvals; lack of
availability at a reasonable cost or at all, of plants, equipment
or labour; inability to attract and retain key management and
personnel; changes to regulations affecting the Company's
activities; the uncertainties involved in interpreting drilling
results and other geological data; and the other risks disclosed
under the heading "Risk Factors" and elsewhere in the Company's
annual report on Form 20-F dated April 2,
2017 filed on SEDAR at www.sedar.com and EDGAR at
www.sec.gov. Any forward-looking statement speaks only as of the
date on which it is made and, except as may be required by
applicable securities laws, the Company disclaims any intent or
obligation to update any forward-looking statement, whether as a
result of new information, future events or results or otherwise.
Although the Company believes that the assumptions inherent in the
forward-looking statements are reasonable, forward-looking
statements are not guarantees of future performance and accordingly
undue reliance should not be put on such statements due to the
inherent uncertainty therein. The forward-looking statements
contained in this press release are expressly qualified by this
cautionary note.
SOURCE Banro Corporation