Good Time Mega International Trade Limited signed a non-binding letter of intent to acquire Petrox Resources Corp. for CAD 1.8 million in a reverse merger transaction.

Good Time Mega International Trade Limited signed a non-binding letter of intent to acquire Petrox Resources Corp. (TSXV:PTC) for CAD 1.8 million in a reverse merger transaction on January 26, 2020. Under the terms of the deal, Petrox will complete a 10:1 consolidation of common shares and that Petrox will acquire all of the issued and outstanding shares of Good Time from the existing shareholders of Good Time in exchange for 35.3 million post-consolidation shares of Petrox. In connection with the Transaction, it is contemplated that Petrox will change its name to "Good Time Mega Trading International Limited" or such other name as may be requested by Good Time and accepted by Alberta Registries and the TSXV. In a related deal, concurrently with the completion of the transaction, it is intended that all of the oil and gas assets and liabilities of Petrox held just prior to the closing of the transaction will be transferred to a newly created wholly-owned subsidiary of Petrox and that all of the shares of the subsidiary will be distributed by Petrox to all of shareholders of Petrox of record at the time of the distribution. It is also contemplated that the then current Directors of Petrox will resign and be replaced by nominees of Good Time. Once the proposed Director nominees are identified, Petrox will issue a subsequent press release providing the names and biographies as well as those of any other persons who will be insiders of Petrox post-Transaction. Completion of the transaction is subject to a number of conditions including the approval from the Petrox shareholders of the proposed consolidation and name change, approval from the Good Time shareholders of the transaction and approvals from the TSXV, securities regulators and third parties as may be required. The letter of intent contemplates Petrox and Good Time entering into a definitive agreement with respect to the transaction prior to or on March 31, 2020 or such other date as may be agreed upon by the parties, failing which the letter of intent will be terminated.