M&As this week: West Wits, Copper Mountain Mining Corporation

24 November 2017 (Last Updated November 24th, 2017 15:38)

West Wits Mining has reached an agreement to acquire 100% stake in Tambina Gold, which holds the rights to acquire three mining leases 150km south-east of Port Hedland.

West Wits Mining has reached an agreement to acquire 100% stake in Tambina Gold, which holds the rights to acquire three mining leases 150km south-east of Port Hedland.

As part of the acquisition, West Wits will pay A$0.1m ($0.07m) following the execution of a term sheet and A$0.2m ($0.15m) in cash, upon completion of the acquisition.

The company will issue 70 million fully-paid ordinary shares, priced at A$0.022 ($0.016) a share, to raise proceeds of A$1.4m ($1.05m). It will also issue up to 30 million fully paid ordinary shares priced at A$0.03 ($0.02) a share to raise proceeds of A$900,000 ($670,000) to fund the transaction.

West Wits Mining is an exploration and development company engaged in the development of gold and uranium deposits, while Tambina Gold is focused on the exploration and development of gold-producing assets.

Both the companies involved in the transaction are based in Australia.

Copper Mountain Mining Corporation (CMMC) has agreed to acquire 100% stake in Altona Mining for a purchase consideration of A$93m ($70.35m).

Each shareholder of Altona will receive 0.0974 CMMC shares for every 10.2669 Altona share held, under the transaction.

CMMC shareholders will own 71.5% stake in the combined entity, while Altona shareholders will own the remaining 28.5% stake.

CMMC has engaged Haywood Securities as corporate advisor, and Farris, Vaughan, Wills & Murphy and Clayton as legal advisors for the transaction. Altona has engaged Hartleys as corporate advisor, and Gilbert + Tobin and Fasken Martineau LLP as legal advisors.

CMMC is a Canada-based copper-gold producer, while Altona Mining is an Australian company engaged in mining, exploration, and evaluation of copper minerals.