Enterayon, Inc. announced today that it has merged with and assumed the name of its wholly-owned subsidiary, North Bay Resources Inc. The new Company name is now North Bay Resources Inc. (“North Bay”). Effective February 7, 2008, the new stock symbol will be “NBRI.” The company has also announced a 1:10 reverse stock split of its common shares.
As a result of the reverse split, holders of North Bay shares will receive one share of North Bay common stock for every 10 shares they currently own, and one additional share in lieu of fractional shares to the extent that an individual’s holdings are not evenly divisible by 10. Colonial Stock Transfer Company will serve as the exchange agent in connection with the reverse split and will be mailing instructions to all record holders explaining the process for obtaining new stock certificates. Post-split trading of North Bay shares will begin on February 7, 2008 under the new ticker symbol “NBRI.”
Prior to the Company’s merger and restructuring, the Company has elected not to renew its option on the Horseshoe Property. Accordingly, the Company will take a charge against Q4 earnings to write down $647,000 in costs related to the acquisition, and will save $1,187,600 going forward in previously-budgeted expenditures.
In addition, the Company’s share repurchase plan, previously announced on October 17, 2007, will remain in effect. As of December 31, 2007, the Company and its affiliates have repurchased 2,120,000 shares in both open-market and private transactions, leaving 2,880,000 shares remaining under the previously authorized 5,000,000 share repurchase plan.
According to CEO Perry Leopold, “As our business plan has evolved to a more generative business model, the board of directors has taken the actions announced today to take advantage of our strengths and better position ourselves for the future. We intend to continue acquiring and managing mining properties, the best of which will be developed through subsidiaries and partners. By doing so, we expect to be profitable on an operational basis, and at the same time unlock the intrinsic value of our assets and monetize them to attain a more suitable market capitalization for the benefit our shareholders.”
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