Court gives Trans-Siberian Gold the go-ahead for capital reduction

Trans-Siberian Gold jumped over the final hurdle in its capital reduction plan on Wednesday, receiving court approval to go ahead with the proposal.

The company had reported on 5 September that it intended to seek the approval of both its shareholders and the High Court for a capital reduction, involving the cancellation of its share premium account.

Its intention was to create sufficient distributable profits to facilitate the future payment of dividends or other methods by which cash may be returned to shareholders.

Trans-Siberian then reported on 29 September that the capital reduction had been approved by shareholders.

“The Company is now pleased to report that the capital reduction has been approved by the court and that the court order and a statement of capital approved by the court have been filed with the Registrar of Companies, wherefore the capital reduction is now in effect,” the firm’s board confirmed on Friday.