New Gold Successfully Completes Offer with 97% of Rainy River SharesNew Gold Successfully Completes Offer with 97% of Rainy River Shares Tendered
(All figures are in Canadian dollars unless otherwise indicated)
VANCOUVER, Aug. 9, 2013 /CNW/ - New Gold Inc. ("New Gold") (TSX and NYSE MKT:NGD)
today announces that, as of 5:00 p.m. (Toronto time) on August 8, 2013, a total of approximately 100.9 million common shares of Rainy River, representing approximately 97.5% of the outstanding shares, had been validly deposited to New Gold's offer to acquire all of the outstanding shares of Rainy River (the "Offer") which was extended by a Notice of Extension dated July 25, 2013. New Gold has taken up and accepted for payment all shares tendered between July 25 and August 8, 2013, being approximately 11.7 million share s, and will pay for such shares
today. Shares tendered on or before
July 24, 2013 were previously taken up and paid for by New Gold.
Rainy River shareholders who tendered their shares between July 25 and
August 8, 2013, and who elected the cash option will receive $1.97 in cash and 0.243 New Gold shares for each share tendered and those who elected the share option will receive 0.5 New Gold shares, subject in each case to adjustment for fractional shares and to confirmation of the number of Rainy River shares validly tendered pursuant to Notices of Guaranteed Delivery.
As the Offer has now expired, New Gold plans to acquire the balance of the Rainy River shares not tendered to the Offer by way of compulsory acquisition under the
Business Corporations Act (British Columbia). A Notice of Compulsory Acquisition is expected to be mailed in the coming days to Rainy River shareholders who did not tender their shares to the Offer. Shareholders are encouraged to carefully review the Notice of Compulsory Acquisition and accompanying Letter of Transmittal, and to complete and return the Letter of Transmittal, together with the certificates representing their Rainy River shares, in accordance with the instructions include d in the Notice of Compulsory Acquisition.
About New Gold Inc.
New Gold is an intermediate gold mining company. The company has a portfolio of four producing assets and three significant development projects. The New Afton Mine in Canada, the Cerro San Pedro Mine in Mexico, the Mesquite Mine in the United States and the Peak Mines in Australia provide the company with its production base and solid foundation. In addition, New Gold owns 100% of the Blackwater project and 97% of the Rainy River project, both in Canada, as well as 30% of the El Morro project located in Chile. New Gold'sobjective is to continue to establish itself as a leading intermediate producer, foc used on the environment, sustainability and generating peer-leading shareholder returns. For further information on the company, please visit
www.newgold.com.
U.S. Shareholders
New Gold has filed with the United States Securities and Exchange Commission (the "SEC") a registration statement on Form F-10 in connection with the Offer which includes the formal offer, take-over bid circular and other offer documents. New Gold encourages shareholders of Rainy River to read the formal offer, take-over bid circular and other offer documents filed with the SEC which contain the full terms and conditions of the Offer and other important information. The offer, take-over bid circular and other offer documents may be obtained free of charge through the Securities and Exchange Commission's website at or by directing a request to the Investor Relations department of New Gold.
.
SOURCE New Gold Inc.
New Gold Inc.
Hannes Portmann
Vice President, Corporate Development
Direct: 1 (416) 324-6014
Email:
info@newgold.com
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