Explorex Resources Inc. said Dec. 23 that it is planning a reverse takeover of Raffles Financial Private Ltd., wherein the latter will be issued an aggregate of 45,000,000 post-consolidation Explorex common shares.

Giving effect to a financing of up to C$20.0 million, a total of 50,050,000 post-consolidation common shares will be outstanding, with former Raffles shareholders holding about 89.9% of the outstanding common shares.

Explorex will complete a plan of arrangement to complete the transaction and spin out its exploration assets and a specified amount of cash to its subsidiary EXCO Resources Inc., which will apply for listing on the Canadian Securities Exchange.

The transaction is expected to be settled on or before March 16, 2020, and effect a name change to Raffles Financial Group Ltd.