(February 28 – 11:35 ET) – Another failed mining company is pledging to make itself into an online brokerage firm.
On the heels of failed sapphire miner American Gem Corp.’s transformation into online broker Digital Gem, Masuparia Gold Corp. says it has a deal to acquire 100% of Blue Chip Online Ltd., a firm it calls “a Bahamas-based financial services company offering secure, reliable online trading and clearing services to international investors.”
Masuparia has agreed to issue the unnamed seller of the private company 12 million of its common shares and assume the obligation of 2 million share purchase warrants issued by Blue Chip to pay for the deal. The deal remains subject to legal and technical due diligence, regulatory approval, board approval, shareholder approval, and execution of a formal agreement.
Mike Magrum, a director and vice president of Masuparia, says once the deal is completed, the firm will change its name to “reflect its new business and concentrate its efforts on building an integrated online financial services franchise.” It also pledges to begin consolidating the industry.
– IE Staff