Western Potash Corp. announced that the company received, at the special general meeting of its shareholders held on Aug. 24, 2015, shareholder approval for a transaction pursuant to which Beijing Tairui Innovation Capital Management Ltd. will purchase 238,264,635 common shares at a price of $0.3358 per share for an aggregate purchase price of $80,000,000 (the "Tairui Investment").
The Tairui Investment will result in the Investor holding a 51% ownership stake in the Company on a non-diluted basis on closing.
The shareholders also approved the issuance of 2,144,865 common shares to CBC (Canada) Holding Corp. also at $0.3358 per share, pursuant to the due exercise of its pre-emptive right with the Company for an aggregate purchase price of $720,245.67 (collectively with the Tairui Investment, the "Transactions"), which will result in CBCHC holding a 10.1% ownership stake in the Company on a non-diluted basis on closing.
Approximately 40% of the eligible shares of the Company were voted at the Meeting, with 70.9% of the shares being voted in favour of the Transactions.
The Transactions are described in the management information circular of the Company dated July 24, 2015.
Closing of the Transactions is expected to occur on or about September 16, 2015, following final clearance by the Toronto Stock Exchange of certain necessary personal information forms relating to the Investor.