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Rio Alto Mining Ltd. (TSX:RIO) and Sulliden Gold Corporation Ltd. (TSX:SUE,OTCQX:SDDDF) announced that they have completed a previously announced plan of arrangement. Under the plan, Rio Alto has acquired all of the issued and outstanding shares of Sulliden.
Rio Alto Mining Ltd. (TSX:RIO) and Sulliden Gold Corporation Ltd. (TSX:SUE,OTCQX:SDDDF) announced that they have completed a previously announced plan of arrangement. Under the plan, Rio Alto has acquired all of the issued and outstanding shares of Sulliden.
As quoted in the press release:
As of today, and including the 151,694,886 Rio Alto common shares issued as consideration under the Arrangement, Rio Alto has 328,802,568 common shares issued and outstanding. No Rio Alto common shares were issued under the Arrangement in respect of the 26,966,292 Sulliden Shares that were held by Rio Alto immediately prior to the completion of the Arrangement. Please refer to the joint press release of Rio Alto and Sulliden dated May 28, 2014 for additional information regarding these Sulliden Shares. An additional 20,905,870 Rio Alto common shares have been reserved for issuance in connection with new Rio Alto options issued to the former option holders of Sulliden and in connection with the Rio Alto common shares that may be issued upon the exercise of existing warrants to purchase Sulliden common shares.
In connection with the Arrangement, two Sulliden nominees joined the Board of Directors of Rio Alto, being Mr. Peter Tagliamonte, the Co-Chairman and CEO of Sulliden prior to the Arrangement and Bruce Humphrey, a Director of Sulliden prior to the Arrangement.
Alex Black, president and CEO of Rio Alto, commented:
We are very excited about the prospects of Rio Alto and the value proposition we are able to deliver to our shareholders based on strong existing gold production at La Arena and future gold production at Shahuindo. The similarities and proximity of Shahuindo to our La Arena mine allow us to leverage the core skills of our management and operating teams and with the transaction now complete, we are eager to focus our efforts on increasing oxide reserves at La Arena and building Shahuindo. We have begun the process of integrating Sulliden’s operations with our own and continue to identify value generative opportunities as we prepare to deliver on our commitment of gold production at Shahuindo by late 2015 or early 2016.
Click here to read the full Rio Alto Mining Ltd. (TSX:RIO) and Sulliden Gold Corporation Ltd. (TSX:SUE,OTCQX:SDDDF) press release.Â
