NEWS ROUNDUP — Canarc alters merger plans

Following their failure to receive court approval for a 3-way merger with Rembrandt Gold Mines (ASE), Canarc Resource (VSE) and Suntac Minerals (VSE) plan to proceed with a 2-way merger.

As in the previous plan, Suntac shareholders will receive one share of Canarc for every 3.5 shares of Suntac held.

Suntac’s primary asset is its option to earn a 60% interest in the Polaris-Taku property from Rembrandt Gold by completing a positive feasibility by Aug. 1, 1993. The companies had hoped to include Rembrandt in the merger on the same basis as Suntac, but the British Columbia Supreme Court would not approve the plan on the basis that it was not fair and reasonable to the minority shareholders of Rembrandt.

Canarc currently holds 28% of Rembrandt’s shares (34% fully diluted), and 51% of Canarc’s shares (64% fully diluted).