F I hope those G thieves don't get involvedtheir white knight we don't need
Globe/CP say Osisko, Virginia Mines to merge
Osisko Gold Royalties Ltd (C:OR)
Shares Issued 47,900,457
Last Close 11/17/2014 $14.86
Tuesday November 18 2014 - In the News
Also Virginia Mines Inc (C:VGQ) In the News
The Globe and Mail reports in its Tuesday edition Osisko Gold Royalties and Virginia Mines plan to combine their businesses to create a royalty company with revenue from two Quebec gold mines. A Canadian Press dispatch to The Globe says Virginia shareholders would receive about $14.19 a share of Osisko. The friendly deal values Virginia at about $479-million, about 41 per cent above the Friday closing stock price, and has the support of two of the province's leading institutional investors -- the Caisse and Fonds. The combined company, to be named Osisko Gold Royalties and based in Montreal, would receive a stream of royalties from the Canadian Malartic mine and the Eleonore mine, which is Virginia's main holding. The boards of Osisko and Virginia unanimously recommended the deal. Shareholders representing 25 per cent of Osisko's equity and 30 per cent of Virginia equity are also supporting the transaction. Each company has agreed to pay a $26-million break fee if the deal is not completed and each company will have rights to match a competing offer. The Caisse and Fonds will invest in each of them -- $42-million in Osisko and $28-million in Virginia -- by adding to their existing equity positions.