buyout news Eldorado Gold to Acquire QMX Gold 01/21/2021 08:10 AM ET
By Michael Dabaie
Eldorado Gold Corp. said it would buy all of the outstanding shares of QMX Gold Corp. it doesn't already own for total consideration of about 132 million Canadian dollars ($104.5 million), or C$0.30 per QMX share.
Eldorado currently owns 68.1 million shares of QMX, or about 17% of QMX shares outstanding, which it purchased at C$0.06 per share in a private placement in late 2019.
The deal significantly increases Eldorado's footprint and landholdings in the Abitibi Greenstone Belt by about 550%.
"This transaction expands our position in the Abitibi camp and is consistent with our strategy of pursuing growth at Lamaque in Quebec, a high-quality existing jurisdiction," said George Burns, Eldorado chief executive.
The companies are working towards closing the transaction in late March or early April.
Write to Michael Dabaie at michael.dabaie@wsj.com
(END) Dow Jones Newswires
January 21, 2021 08:10 ET (13:10 GMT)