SSR Mining Inc. (TSX: SSRM) announced this morning the definitive agreement to acquire Taiga Gold Corp. (CSE: TGC). The purchase price puts the transaction value at approximately $27.0 million.
The mining firm has agreed to acquire all issued and outstanding Taiga Gold shares at $0.265 per share, representing a 39% premium on the 20-day average trading price. The transaction is also expected to be settled with an all-cash consideration and not be subject to any financing condition.
Should the transaction close, this will consolidate a 100% ownership of the Fisher property, currently co-owned with Taiga Gold on an 80%-20% basis. The acquisition also unencumbers the property of a 2.5% net smelter return royalty.
The acquisition will also add five new properties–covering 34,569 hectares–to SSR Mining’s portfolio: Leland, Chico, Orchid, Mari Lake, and SAM properties.
The transaction has been unanimously approved by the boards of both companies. While SSR Mining does not require the approval of its shareholders, Taiga Gold plans to secure its shareholders’ approval of the proposed acquisition on or before March 15, 2022.
SSR Mining recently reported its Q3 2021 financial results headlined by a US$322.8 million in quarterly revenue.
SSR Mining Inc. last traded at $22.67 on the TSX while Taiga Gold last traded at $0.20 on the CSE.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.