Auric Gold & Minerals Inc. of Reno plans to go public through a reverse merger and is raising $2 million through private placements.
The company is a majority owned affiliate of Whitney & Whitney Inc. which itself is a wholly owned subsidiary of Itronics Inc., a silver recycling company whose shares trade on the Pink Sheets.
Auric has staked 175 claims on a gold prospect in western Nevada. It plans to merge with an inactive mining company whose shares are publicly held. The company holds claims that an exploration company has optioned for purchase.
At the same time, the company said it hired a Canadian mine finance firm to sell 25 percent control of Auric through private placements with accredited investors. If that's successful, it would value Auric at $8 million. Whitney & Whitney would own 55 percent of the company after the merger.
Completion of the reverse merger depends on Auric's ability to complete the $2 million in private placements as well as completion of due diligence and final merger documents.
If all goes well, Auric said it expects to complete the deal by Dec. 1.
