Ethereum (ETH) Capital has received approval to list common shares belonging to Movit Media Copr on Aequitas NEO Exchange. Both Ethereum and Movit had sought approval to list from NEO Exchange as they prepare their announced transaction which will result in Movit’s reverse takeover. Movit has consequently submitted a filing statement.
Movit and Ethereum Capital entered an agreement which was binding last month with a view to having the former amalgamating with a subsidiary that is wholly owned by the latter. Common shares of the two will get listed on NEO Exchange and will trade under the ticker ETHC. Consequently Movit will delist from TSX Venture Exchange after the transaction has been completed.
A meeting of shareholders of Movit is expected to take place mid this month where the shareholders will consider and if in agreement pass resolutions approving matters relating to the transaction. Some of the matters include the continued corporate existence of Movit, consolidation of outstanding and issued shares belonging to Movit, rebranding to Ether Capital Corporation and reconstituting the company’s board of directors. Additionally other matters they will be required to approve include adopting new by-laws that will govern the business and its affairs and adopting share compensation plans.
While share compensation plans and by-laws will require a simple majority in order to be passed, change of name, business consolidation and continuance will require to get the approval of two-thirds of the shareholders.
According to the board of directors of Movit the transaction is in the company’s best interests and are therefore recommending that shareholders pass the resolutions. Holders of about 76% of Movit’s outstanding common shares have reached a voting agreement with the company and have agreed to back the resolutions unless certain circumstances force them to terminate the agreement.
Once all approvals are received the transaction could conclude as soon as the Movit shareholders meeting has concluded. Once the transaction is complete Ethereum Capital will then embark on the implementation of its business plan.