gold
TSX-listed Endeavour Mining states that shareholders of Avnel Gold Mining approved the previously announced proposed acquisition of Avnel by Endeavour.

The transaction between Endeavour Mining and Avnel is being implemented by way of a scheme of arrangement pursuant to Part VIII of the Companies (Guernsey) Law, 2008.

A total of 99.37% of scheme shares were voted at the meeting and 88.89% of holders of record of scheme shares voted in favour of the scheme.

The number of Endeavour Mining shares to be issued under the scheme will be approximately 7 million.

Following the completion of the transaction, Endeavour Mining will have approximately 104 million ordinary shares issued, with former Avnel shareholders holding approximately 6.8% of Endeavour Mining’s pro forma share capital.

Completion of the scheme remains subject to certain conditions, including sanction by the Royal Court of Guernsey.

The transaction is expected to close on September 18, 2017.

 

Endeavour Mining expects to take advantage of Avnel’s construction expertise, operating synergies and exploration experience to re-design and optimise the current feasibility study, which is expected to increase the annual production profile and improve the project economics.

“We are delighted to have reached this agreement with Avnel Gold Mining,” says endeavour Mining president and CEO, Sébastien de Montessus.

“We believe that Kalana fits well within our strategy of building a high quality portfolio of long-life, low AISC assets with exploration upside.

“Furthermore, this acquisition expands our footprint in Mali and reinforces our project pipeline, which will allow us to continue to leverage our in-house construction expertise.

“Kalana adds a third high-quality project to our portfolio, which we intend to develop following the completion of our Hounde and Ity CIL projects.

“In the interim, we look forward to optimizing the current feasibility study which should unlock further value for both Endeavour and Avnel shareholders, as well as benefiting our partners, the State of Mali and the local communities around Kalana.”

“This transaction with Endeavour Mining will deliver many benefits to all our stakeholders,” states Avnel Gold Mining chairman and CEO, Howard Miller.

Feature image credit: Wikimedia