- Silvercorp Metals Inc and Guyana Goldfields Inc yesterday announced that they have entered into an amending agreement to the deal entered into previously and announced on April 27, 2020, pursuant to which Silvercorp agreed to acquire all of the issued and outstanding shares of Guyana Goldfields by way of a court approved plan of arrangement under the Canada Business Corporations Act.
Guyana Goldfields’ subsidiary AGM runs a largescale gold mine at Aurora in the Cuyuni/Mazaruni and hundreds of workers are expected to be laid off to facilitate a transition from open pit to underground mining.
A release from the companies yesterday said that Pursuant to the terms of the amending agreement, each holder of Guyana Goldfields shares will receive, for each Guyana Goldfields share held, C$0.25 in cash and 0.1849 of a Silvercorp common share, for total consideration of C$1.30 per share (based on the volume weighted average price for Silvercorp common shares for the 5 trading days ended May 14, 2020).
