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Endeavour Silver (NYSE:EXK) has entered an agreement to acquire Oro Silver Resources, a wholly owned subsidiary of Canarc Resource (TSX:CCM). Oro Silver holds the El Compas gold-silver mine property in Mexico. As quoted in the press release: Pursuant to the agreement, Endeavour will pay Canarc CAD$10.5 million by issuing 2,147,239 common shares of Endeavour at …
Endeavour Silver (NYSE:EXK) has entered an agreement to acquire Oro Silver Resources, a wholly owned subsidiary of Canarc Resource (TSX:CCM). Oro Silver holds the El Compas gold-silver mine property in Mexico.
As quoted in the press release:
Pursuant to the agreement, Endeavour will pay Canarc CAD$10.5 million by issuing 2,147,239 common shares of Endeavour at a deemed issue price of CAD$4.89, representing the 10-day volume weighted average price of Endeavour’s shares on the TSX. Endeavour will assume Canarc’s obligation to pay an aggregate of 165 troy ounces of gold from production to Marlin Gold Mining Ltd.
Closing will occur upon receipt of applicable regulatory approvals and the satisfaction of customary closing conditions, expected no later than June 30, 2016. The transaction was evaluated and negotiated by management led by Godfrey Walton, President and COO. The transaction was approved by the independent members of the Endeavour board. Due his positions as Chairman and Director of Canarc, Bradford Cooke, CEO, did not participate in any deal discussions or in the board meeting to review and approve the transaction.