Silver Lake Resources (ASX:SLR) wins bid for TSX-listed Harte Gold – The Market Herald

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  • Silver Lake Resources (SLR) has won its bid to acquire Toronto Stock Exchange-listed gold mining company Harte Gold
  • Silver Lake also plans to earn a 2% net smelter royalty (NSR) for consideration of US$22 million (A$30.5 million) payable in shares of Silver Lake.
  • Vesting of the Royalty is subject to the completion of the Harte Gold Acquisition, which requires the approval of the Subscription Agreement by the Court as the successful bid pursuant to an Approval and Vesting Order .
  • A court hearing is expected to be convened this month and the transaction is expected to close by the second half of February
  • Silver Lake Resources shares rose 0.38% to $1.85 at 1:49 p.m. AEDT

Silver Lake Resources (SLR) has won its bid to acquire gold mining company Harte Gold, listed on the Toronto Stock Exchange.

The Harte Gold SISP was approved by the Ontario Superior Court of Justice late last December and completed a week ago.

Silver Lake’s bid pursuant to the subscription agreement was then declared the winner two days ago.

The consideration payable by SLR under the agreement as well as further details of the agreement and the SISP were detailed by the company last December.

Silver Lake has also entered into an agreement with a private investor in the Appian mining operation to acquire its aggregate 2% net smelter royalty (NSR) payable on production from the Sugar Zone mine and the entire property. Sugar Zone.

The company will acquire the NSR for US$22 million (AU$30.5 million), payable in shares of Silver Lake to be priced at the five-day volume-weighted average (VWAP) price prior to closing.

Silver Lake says the acquisition and subsequent disposal of NSR will reduce operating costs and increase operating cash flow, while increasing the company’s leverage on rising oil prices. gold and the significant exploration potential of the Sugar Zone mine and the entire Sugar Zone property.

Vesting of the Royalty is subject to the completion of the Harte Gold Acquisition, which requires the approval of the Subscription Agreement by the Court as the successful bid pursuant to an Approval and Vesting Order .

A court hearing is expected to be called this month and the transaction is expected to close by the second half of February.

Silver Lake Resources shares rose 0.38% to $1.85 at 1:49 p.m. AEDT.

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