Ashton shareholder seeks to overturn Stornoway merger

A shareholder of Ashton Mining has petitioned the British Columbia Supreme Court to cancel Ashton’s amalgamation with a Stornoway Diamond (SWY-T, SWYDF-O) subsidiary.

The shareholder, Matthew Bingham, had owned about 0.75% of Ashton’s shares before the Stornoway merger. Stornoway, which had gained a 75% shareholding in Ashton following a bid of $1.25 cash per share or an exchange of one Stornoway share plus 1, proposed the merger to a meeting of shareholders; it was approved in early January.

Stornoway released a prepared statement that it believed the amalgamation was legally valid.