An outright sale didn’t work. Last year’s private placement didn’t either. So Yamana Gold Inc. has adopted a new, unique initiative to spin out its Brazilian assets: Take them public through a rights offering.
Late Monday, Yamana filed the paperwork for the initial public offering, and the prospectus lays out one of the more unusual structures that Canada has seen. Instead of simply selling off the assets in return for cash, the gold miner is giving its existing shareholders the right to purchase stock in the new company, called Brio Gold.Report Typo/Error