The combination creates a dual ASX- and TSX-listed gold and antimony producer
HopgoodGanim Lawyers has helped Alkane Resources Limited to merge with Mandalay Resources Corporation in a deal valued at over $1bn.
The combination creates a gold and antimony producer listed on both the ASX and the Toronto Stock Exchange (TSX). The merger took effect via a statutory plan of arrangement under the Business Corporations Act (British Columbia).
Under the deal, Alkane acquires all of Mandalay’s issued and outstanding common shares. Mandalay’s shareholders are entitled to 7.875 fully paid Alkane ordinary shares for each Mandalay share, according to a press release from Alkane and Mandalay.
The new entity will still operate as Alkane Resources Limited and retain the Perth headquarters. It will have improved operational capabilities, a solid balance sheet, and a broader presence throughout key mining jurisdictions in Australia and Sweden, HopgoodGanim said.
Alkane will operate across Victoria (Costerfield), NSW (Tomingley) and Sweden’s Skelleftea (Björkdal). Its new board includes former Mandalay directors Brad Mills, Frazer Bourchier and Dominic Duffy, as well as current Alkane directors Ian Gandel and Nic Earner.
Chartered mining engineer Andy Quinn has been named independent chair. Earner leads the management team as managing director and CEO alongside CFO James Carter.
Alkane has also brought in ex-Mandalay executives Ryan Austerberry (COO of Mandalay Assets) and Chris Davis (VP Exploration and Operational Geology – Mandalay Assets) for facilitate the continuity of the Costerfield and Björkdal mines.
“We are proud to have successfully completed this transaction. With a diversified production base, broader exploration pipeline, and enhanced trading liquidity, the combined company is well positioned for a market re-rating”, said Frazer Bourchier, former Mandalay president and CEO and new Alkane non-executive director, in the companies’ press release.
Partner Robyn Ferguson led the HopgoodGanim team advising Alkane as its Australian legal advisor. Ferguson received support from Nino Odorisio, Lily Robinson, Garrett Pearce and Mark McCann (corporate and M&A) as well as from Alison Cooper and Claudia Hill (resources and energy). A team from Bennett Jones LLP served as Alkane’s Canadian legal advisor.
Clayton Utz was the Australian legal advisor for Mandalay while Goodmans LLP was the Canadian legal advisor.
Haywood Securities Inc. was the exclusive financial advisor to Mandalay and its board of directors, while Alkane engaged Bell Potter Securities Limited and Euroz Hartleys Limited as joint financial advisors.
