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- NORTH AMERICA EDITIONAustraliaNorth AmericaWorld
Oct. 06, 2026 10:30AM PST
Franco-Nevada maintains it executed the transaction purely for investment purposes and stated it has no immediate plans to alter its position or pursue a takeover.
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Royalties and streaming giant Franco-Nevada (TSX:FNV,NYSE:FNV) has acquired a 12.42 percent stake in early-stage exploration company Kenorland Minerals (TSXV:KLD,OTCQX:KLDCF) through a US$22.2 million private block trade.
The Toronto-based firm purchased 10 million Kenorland common shares at US$2.22 each, buying out the majority position of an insider while taking a substantial allocation from the target company's chief executive.
“We are pleased to welcome Franco-Nevada, one of the most respected names in royalties and streaming, as a significant shareholder of Kenorland,” Zach Flood, President and CEO of Kenorland, said in a statement.
Under the private agreements, Franco-Nevada acquired 7.95 million shares from John Tognetti, who previously held a 13.80 percent stake in Kenorland. Following the sale, Tognetti's direct and indirect holdings fall to 3.16 million shares or 3.93 percent of the outstanding float, stripping him of his status as a corporate insider. Tognetti characterized the divestment as part of his overall portfolio management strategy.
Flood supplied the remaining 2.05 million shares to complete the block trade, retaining 3.42 million common shares following the transaction.
In an exclusive interview with the Investing News Network, conducted in collaboration with the NYSE, Franco-Nevada President and CEO Paul Brink discussed how the company plans to allocate capital. Listen to the full interview above.
The investment deepens institutional backing for Kenorland, a project generator focused on greenfield exploration across North America.
The company's primary asset is a 4 percent net smelter return royalty on the Frotet Project in Quebec, which it discovered alongside Sumitomo Metal (TSE:5713) Canada in 2020. The Frotet property currently hosts an inferred mineral resource of 14.5 million tons grading 5.47 grams per ton for 2.55 million ounces of gold.
Just last week, Sumitomo and Centerra Gold (TSX:CG,NYSE:CGAU) exercised their respective investor 'top-up' rights to maintain their pro-rata stakes in the explorer, holding 10.1 percent and 9.9 percent, respectively.
For Franco-Nevada, the equity purchase into a royalty-holding explorer follows ongoing uncertainty surrounding its major stream at the Cobre Panamá copper mine.
Operations at the First Quantum Minerals (TSX:FM,OTCPL:FQVLF) asset remain suspended, though a recent Panamanian Ministerial Commission report recommended opening negotiations with First Quantum to assess a potential restart agreement that would terminate pending international arbitration and establish conditions for an orderly closure.
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Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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Giann Liguid is a graduate of Ateneo De Manila University with an AB in Interdisciplinary Studies. With a diverse writing background, Giann has written content for the security, food and business industries. He also has expertise in both the public and private sectors, having worked in the government specializing in local government units and administrative dynamics.
When he is not chasing the next market headline, Giann can most likely be found thrift shopping for his dogs.
When he is not chasing the next market headline, Giann can most likely be found thrift shopping for his dogs.
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Giann Liguid is a graduate of Ateneo De Manila University with an AB in Interdisciplinary Studies. With a diverse writing background, Giann has written content for the security, food and business industries. He also has expertise in both the public and private sectors, having worked in the government specializing in local government units and administrative dynamics.
When he is not chasing the next market headline, Giann can most likely be found thrift shopping for his dogs.
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