Lions Bay acquires 3.36 M Fidelity Minerals shares

Executive Summary

• Lions Bay Capital Inc. acquired an additional 3,361,344 common shares of Fidelity Minerals Corp. at C$0.13 per share, increasing its ownership to 43.80% of the outstanding common stock on an undiluted basis.
• The acquisition settles C$436,975 in outstanding loans owed by Fidelity Minerals to Lions Bay.
• Including exercisable warrants, Lions Bay could own up to 46.12%** of Fidelity’s shares on a partially diluted basis, underscoring a strategic investment in the Tier‑1 Las Huaquillas gold‑porphyry target.

Key Details

• Shares Acquired: 3,361,344 common shares at C$0.13 per share.
• Purchase Price Total: Approximately C$436,975 (settlement of outstanding debt).
• Pre‑acquisition Ownership: 13,540,162 shares (~38.43% undiluted).
• Post‑acquisition Ownership: 16,901,506 shares (~43.80% undiluted).
• Warrants Held: Rights to acquire up to 1,662,500 additional common shares.
• Potential Fully Diluted Ownership: Up to 18,564,006 shares (~46.12% partially diluted) if all warrants are exercised.
• Purpose of Acquisition: Settlement of debt and investment in Fidelity’s Las Huaquillas property, described as a Tier‑1 epithermal gold and porphyry target.
• Future Ownership Flexibility: Lions Bay may increase or decrease its stake through market purchases or private agreements, subject to market conditions and other opportunities.

Notable Quotes

“We are very excited by the potential of the Las Huaquillas property held by Fidelity, which we consider a Tier 1 epithermal gold and porphyry target,” – John Byrne, Executive Chairman, Lions Bay Capital Inc.