CHLORIDE, AZ, Feb. 20, 2013 /PRNewswire/ - Hondo Minerals Corporation (OTCBB: HMNC.OB) today announces that its Board of Directors, in accordance with its fiduciary obligations to its shareholders, continues to review and negotiate the terms of the unsolicited offer from Crowncorp Investment Corporation to purchase all of the assets of the Company's wholly owned subsidiary, Hondo Minerals, Inc., which holds 100% of the Company's assets, in exchange for $75 million in cash. To that end, the Company has engaged Mergers & Acquisitions legal counsel to assist with its review, consideration and structuring of the proposed transaction.
Bill Miertschin, Chairman and CEO of Hondo, said, "We are diligently working to assess the financial viability and structure of Crowncorp's offer and to determine the best course of action for the Company and its shareholders. We hope to complete this review and structuring as soon as possible."
About Hondo Minerals
Hondo Minerals Corporation is engaged in the acquisition of mines, mining claims and mining real estate in the United States, Canada and Mexico with mineral reserves of precious metals or non-ferrous metals. Hondo owns the Tennessee and Schuylkill Mines in Chloride, Arizona. The Tennessee Mine operated from the late 1800s until 1947 producing lead, zinc, gold and silver. The Company also owns numerous other mining claims in the U.S. Southwest.
About Crowncorp Investment Corporation
Crowncorp Investment Corporation, a corporation duly formed under the laws of the State of Texas in May 2007, has been involved in buying and selling of petroleum, petroleum derivatives, and commodities since its inception. In addition, the Company has expertise across a wide range of activities related to mining and minerals processing including exploration, development, smelting, refining, safety, environmental protection, product stewardship, recycling and research and seeks to enhance shareholder value and seize growth opportunities by acquiring mines and mining claims in the United States.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties, including the Company's beliefs about its business prospects and future results of operations. Some factors that could cause actual results to differ materially include economic and operational risks, changes in anticipated earnings, continuation of current contracts, and other factors detailed in the Company's filings with the Securities and Exchange Commission, including its most recent Forms 10-K and 10-Q. The Company forecasts provided above are dynamic and therefore refer only to this release date. The Company does not undertake to update any forecasts that it may make available to the investing public.
SOURCE Hondo Minerals Corporation