Montana Mining Corp. has signed an asset purchase agreement to acquire JBP SA from Park Capital Management, Inc. JBP is a private company headquartered in the Dominican Republic that owns approximately 700 acres on which it intends to develop a destination mountain biking resort.
The premiere destination resort, to be known as ParkVida, will cater to mountain biking of all disciplines (i.e. downhill, cross-country, free ride, dirt jump, trials/street, and cyclocross) and will offer mountain biking aficionados an unparalleled biking experience. Visitors to ParkVida will be challenged by its trails by day and treated to “six-star” accommodation by night.
“We are pleased to move one step closer to developing this business opportunity and believe that ParkVida will attract bikers from around the world to indulge in the exotic location and appreciate mountain bike specific amenities,” said Montana Mining Corp. CEO Ruairidh Campbell.
The acquisition requires Montana Mining to issue 15,282,120 common shares and 6,824,300 share purchase warrants exercisable for a period of ten years at 0.5 cents to Park for all ownership interests in JBP and to complete a private placement of no less than $750,000. A finder’s fee of 1,528,212 common shares and 682,430 share purchase warrants, exercisable for a period of three years at 6 cents, will be paid on the closing date, anticipated to be November 12, 2010.
