Leagold Mining & Equinox Gold Join Forces

Leagold Mining and Equinox Gold combine to create a premier Americas gold producer

Leagold has entered into a definitive agreement with Equinox Gold to combine in an at-market merger of equals. Led by Ross Beaty as Chairman and Neil Woodyer as CEO, the combined company will be one of the world’s top gold producing companies operating entirely in the Americas. Further, the combined entity will continue as Equinox Gold and be headquartered in Vancouver, Canada.

Below are some of the transaction highlights:

  • Gold production of 700,000 ounces in 2020, increasing to 1 million ounces annualized production during 2021 and beyond, based on analyst consensus estimates
  • Diversified operating platform with six operating mines in USA, Mexico and Brazil
  • Substantial gold reserve and resource base
  • Robust revenue, EBITDA and free cash flow
  • Concurrent $670 million financing package: an at-market $40 million equity investment from Ross Beaty, a new $130 million convertible debenture issued to Mubadala Investment Company (“Mubadala”) and $500 million in underwritten commitments from a syndicate of lenders to refinance existing credit facilities
  • Strong balance sheet and operating cash flow fully funds growth from two development projects and two expansion projects
  • Operating and administrative synergies in excess of $10 million annually
  • Pro forma market capitalization of $1.3 billion providing scale, liquidity and re-rate potential

For more information on LeaGold Mining Corp. (LMC:TSX, LMCNF:OTCQX) please fill out the form below.

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