Agnico Eagle completes majority takeover of O3 Mining

Agnico Eagle Mines and O3 Mining have announced the expiry of Agnico Eagle’s board-supported take-over bid, with Agnico acquiring 95.6% of the issued and outstanding common shares of O3 Mining. The company has taken up 114,785,237 shares at a cash price of $1.67 per share, securing majority control.
Agnico Eagle will now move forward with a subsequent acquisition transaction, merging O3 Mining into a wholly owned subsidiary. Under the terms of the agreement, each remaining O3 Mining shareholder will receive one redeemable preferred share of the amalgamated company, which will be automatically redeemed for $1.67 in cash per share.
"Our acquisition of O3 Mining strengthens our asset base and enhances our ability to deliver shareholder value," said Agnico Eagle CEO Ammar Al-Joundi.
With Agnico now controlling over two-thirds of the voting power, the transaction is expected to proceed smoothly through the necessary shareholder approvals. A special meeting of O3 Mining shareholders will be held in March 2025 to finalize the amalgamation.
Following the transaction’s completion, O3 Mining will be delisted from the TSX Venture Exchange and apply to cease being a reporting issuer under Canadian securities laws. The company will become a private entity, wholly owned by Agnico Eagle.
O3 Mining’s outstanding share purchase warrants, exercisable at $1.45 per share until August 2026, will be amended to provide warrant holders with a cash payout of $1.67 per share upon exercise.
Agnico Eagle, prior to this transaction, controlled 92.9% of O3 Mining’s shares and additional securities, including a $10 million convertible debenture. With the latest share acquisitions, its stake has now increased to approximately 96.5% on a basic basis and 96.6% on a partially diluted basis.
The amalgamation is expected to be finalized before March 31, 2025.
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