-- Nevada King Gold (NKG.V) after trade Monday said its board approved a share consolidation on the basis of one new share for every five existing shares.
The new share structure is expected to take effect on May 7. The company will keep the same name, Nevada King Gold Corp., and continue trading under the ticker symbol NKG, it said.
"Following our recent C$16.3 million financing and the doubling of our Phase 4 drill program to 40,000 metres, this move ensures that our capital structure is as robust as our exploration pipeline, improving our ability to create long-term shareholder value," Chief Executive John Sclodnick said.
The company said, currently, it has about 501.8-million shares outstanding. After the consolidation, this will be reduced to nearly 100.4-million shares, subject to rounding adjustments.