Starcore Closes Spin-Out of African Properties for Issue of Capital Dividend

Core Viewpoint - Starcore International Mines Ltd. has received final court approval for a Plan of Arrangement to spin out its African mineral properties into a new subsidiary, EU Gold Mining Inc., allowing Starcore to focus on its operations in Mexico [1][6]. Group 1: Arrangement Details - The effective date for the completion of the Arrangement is set for February 6, 2026, which will also serve as the record date for shareholders entitled to receive shares of EU Gold [2]. - Shareholders of Starcore will receive one common share of EU Gold for every two shares of Starcore they own, with the distribution expected around March 5, 2026 [2]. - No fractional shares of EU Gold will be issued; any fractions will be rounded to the nearest whole number [3]. Group 2: Corporate Strategy - The Arrangement allows Starcore to transfer all rights to its mineral property assets in Africa to EU Gold, which will also assume related liabilities [5]. - This restructuring enables Starcore to concentrate on its gold and silver production assets in Mexico, specifically the San Martin gold mine and the La Tortilla silver mine [6]. - EU Gold will focus on developing the Côte d'Ivoire properties and aims to list its shares on a Canadian stock exchange, contingent on meeting listing requirements [7]. Group 3: Operational Independence - Following the spin-out, Starcore and EU Gold will operate as separate entities, although there may be some overlap in directors and officers [8].