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Helca Mining Company (NYSE:HL) and Mines Management (NYSE MKT:MGN; TSX:MGT) have announced a merger agreement wherein Helca acquires Mines Management. As quoted in the press release: In the proposed merger, each outstanding common share1 of Mines Management will be exchanged for 0.2218 of a common share of Hecla. This represents a 41% premium to Mines …
Helca Mining Company (NYSE:HL) and Mines Management (NYSE MKT:MGN; TSX:MGT) have announced a merger agreement wherein Helca acquires Mines Management.
As quoted in the press release:
In the proposed merger, each outstanding common share1 of Mines Management will be exchanged for 0.2218 of a common share of Hecla. This represents a 41% premium to Mines Management, using both companies’ 10 day VWAP (Volume Weighted Average Price) on May 20, 2016. The transaction is expected to close in the third quarter, 2016. The transaction is subject to approval by Mines Management shareholders and other closing conditions.
Following closing of the merger, Hecla intends to advance the evaluation program of Montanore. Located in Northwest Montana, Montanore is considered one of the largest undeveloped silver and copper deposits in North America. The project is approximately 10 miles from Hecla’s Rock Creek project and 50 miles north of Hecla’s Lucky Friday Mine in Idaho.
Glenn Dobbs, president and CEO of Mines Management, said:
The Montanore Project has been significantly advanced by Mines Management and, with the issuance of the final Environmental Impact Statement and Records of Decision early this year, now is the time to pass it on to Hecla to further advance the project and put it into production.