Mandalay Resources has announced the receipt of Australian Foreign Investment Review Board (FIRB) approval for its proposed merger with Alkane Resources.

The FIRB provided written confirmation on 26 June that the Australian Commonwealth Government has no objection to the merger.

This fulfills the final regulatory approval needed under the arrangement agreement dated 27 April 2025.

The estimated implied market capitalisation of the merged company is C$898m ($647.8m).

Additionally, on 23 June 2025, the Supreme Court of British Columbia granted an interim order authorising the calling and holding of a special meeting of Mandalay shareholders to vote on the merger and other matters.

The board of directors of Mandalay has unanimously approved the transaction and recommends that shareholders vote in favour of the merger at the upcoming meeting.

The merger remains subject to the final order from the Court, approval from both Mandalay and Alkane shareholders, and other customary closing conditions.

The transaction is expected to close in early August 2025.

The merged entity will retain the name Alkane Resources, maintain its listing on the Australian Securities Exchange and aim for a listing on the Toronto Securities Exchange.

Maldalay Resources president and CEO Frazer Bourchier said: “This represents a key milestone in advancing and de-risking the merger. With all regulatory approvals in hand and the circular filed, we are looking forward to completing the transaction and forming a new, diversified mid-tier gold and antimony producer.

“We believe that the enhanced scale and financial strength of the combined company will provide a strong foundation to unlock shareholder value and support a meaningful re-rating.”