- CopAur Minerals (CPAU) has entered a binding letter of agreement with New Placer Dome to acquire the junior exploration company
- New Placer Dome shareholders will receive 0.1182 common shares of CopAur Minerals for each common share held of New Placer Dome
- In connection with the transaction, the two companies plan to pursue a concurrent financing to raise gross proceeds of up to $15 million
- The proposed transaction is expected to be completed in late March 2022
- CopAur Minerals is a Canadian based copper-gold mining company
- Shares in CopAur Minerals Inc. (CPAU) are down 3.45 per cent, trading at $1.12 per share
CopAur Minerals (CPAU) has entered a binding letter of agreement with New Placer Dome to acquire the junior exploration company.
Under the agreement, CopAur will acquire all of the issued and outstanding common shares of New Placer Dome in an arm’s length transaction.
The new combination of CopAur Minerals and New Placer Dome will create a leading gold-copper exploration and development company with a portfolio of assets in two of North America’s foremost mining districts: the Toodoggon/Golden Horseshoe mineral district of Northeastern British Columbia and the Great Basin gold district of Nevada.
The combined company will be managed by an award-winning team of professionals who stand for technical excellence, painstaking project selection and uncompromising corporate governance.
Jeremy Yaseniuk, CopAur CEO, commented on the transaction.
“This bold and strategic acquisition of New Placer Dome and its gold projects in Nevada together with our 100% owned Williams Gold-Copper property in Northern British Columbia will create an exciting new precious metals exploration company with a multi-asset portfolio across two of North America’s most prolific mining jurisdictions.
“The combined entity will be a larger company that is well funded following New Placer Dome’s recent financing and CopAur Minerals’ substantial in-the-money warrant and option proceeds and the proposed concurrent financing.”
New Placer Dome shareholders will receive 0.1182 common shares of CopAur Minerals for each common share held of New Placer Dome.
All existing share purchase warrants and stock options to acquire New Placer Dome shares will also be exchanged for share purchase warrants and stock options to acquire common shares of CopAur.
In connection with and as a condition of closing the transaction, CopAur Minerals and New Placer Dome will combine their efforts to pursue concurrent financing to raise gross proceeds of at least $5 million and up to $15 million.
CopAur Minerals will also make available to New Placer Dome an US$840,000 convertible loan to fund the ongoing exploration work on the Bolo Property and to meet the 2021 work expenditure commitment.
The proposed transaction is expected to be completed in late March 2022 and is subject to regulatory approvals.
CopAur Minerals is a Canadian-based copper-gold mining company whose primary asset is the 100%-owned Williams Gold-Copper property in northeastern BC.
Shares in CopAur Minerals Inc. (CPAU) are down 3.45 per cent, trading at $1.12 per share as of 10:29 am EST.