The dotcom boom Mark II is officially gathering pace, with West Perth-based exploration play Minerals Corporation set to backdoor list cloud computing company PRM Cloud Solutions in a $2.5 million all-scrip deal.
Following on from the likes of former exploration-turned-tech play Spencer Resources, which kicked off the trend in October, Minerals Corporation is set to come out of a trading halt this morning to announce the deal for the Melbourne tech company.
PRM - which also has a presence in Perth - provides HR support to the mining, construction and oil and gas industries through what it describes as "cloud solutions". Its clients include Rio Tinto, Macmahon, Downer EDI and Inpex.
Like many of its peers, Minerals Corporation - which had been chasing copper in the Democratic Republic of Congo - has been battling the perfect storm of market indifference, low metal prices and a general lack of risk money in the market. At the end of the September quarter it had $370,000 in the bank. And it has been battling a share price anchored in the 0.6Â¢ to 0.2Â¢ range.
It is understood the company is talking to its joint venture partners and hammering out plans to sell its exploration holdings.
The deal, which will see Minerals Corporation issue PRM 1 billion shares at 0.2Â¢, is subject to Mineral Corporation shareholder approval. A meeting is scheduled for late February.