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Robert Friedland, executive chairman of Ivanhoe Mines, seen here October 1, 2007 speaking at the Asia Pacific Forum on Mining and Minerals in downtown Vancouver. RAFAL GERSZAK FOR THE GLOBE AND MAILThe Globe and Mail

Our roundup of Canadian small-caps making news and on the move today. This post will be updated through the morning.

Timmins Gold Corp. has agreed to acquire Newstrike Capital Inc. though a court-approved plan of arrangement.

Under the terms of the arrangement, Newstrike shareholders will receive 0.9 of a Timmins Gold common share and $0.0001 (Canadian) in cash for each Newstrike common share, representing the equivalent of $1.15 per Newstrike share and a premium of 20 per cent based on the closing prices of the Timmins Gold Shares and Newstrike Shares on Feb. 13, and $1.20 per Newstrike Share and a premium of 22.4 per cent based on the 20-day volume-weighted-average-price of the Timmins Gold Shares and the Newstrike Shares.

The exchange ratio implies a total transaction value of approximately $140-million on a fully-diluted in the money basis. In addition, each outstanding option to purchase a Newstrike Share will be exchanged for an option to purchase a Timmins Gold share, based upon the Exchange Ratio.

Timmins Gold will undertake a non-brokered private placement of Timmins Gold shares in an aggregate amount of up to $10-million at a price of $1.25 per Timmins Gold Share.

Upon completion of the arrangement, the combined company will be owned approximately 63 per cent by Timmins Gold shareholders and 37 per cent by Newstrike shareholders.


Ivanhoe Mines Ltd. said that "additional, exceptionally high-grade" zinc, copper and silver drill intercepts have been reported in the fourth batch of assay results from the company's underground diamond-drilling program at the Kipushi copper-zinc-germanium-lead and precious-metals mine in the Democratic Republic of Congo.

"Our underground drilling program at Kipushi is continuing to deliver exceptionally high-grade intercepts in several target areas, while leading to an improved understanding of geology and structural controls on the mineralization," said Robert Friedland, executive chairman of Ivanhoe Mines. "The recent intercept in hole KPU072 highlights the potential to discover new zones of high-grade zinc and copper mineralization. We're looking forward to drill-testing these targets as our drilling program continues."


Trinidad Drilling Ltd. announced that it lowered its capital expenditure plans for 2015 to $175-million from $350-million, citing the weakness in commodity prices. In 2014, Trinidad spent approximately $335 million, net of proceeds from the joint venture, in capital expenditures.

Lyle Whitmarsh, Trinidad's CEO, said, "We have postponed some rig upgrades until demand increases and have worked with our customers to meet our commitments while also conserving cash generated from our operations."


Crius Energy Trust announced that Crius Energy LLC has entered into a binding share purchase agreement to acquire all of the outstanding equity interests in TriEagle Energy LP, a Houston-based energy retailer, for approximately $22-million (U.S.), subject to regulatory and other approvals. The acquisition adds a diverse portfolio of residential, commercial and municipal aggregation customers totaling approximately 200,000 residential customer equivalents in Texas, Pennsylvania, and New Jersey.


DHX Media Ltd. announced fiscal second-quarter revenues rose 112 per cent from a year ago to $64.25-million - close to consensus expectations of $65.54-million. Adjusted EPS was 8 cents, matching Street views.


Exchange Income Corp. entered into an agreement with the Canada Revenue Agency regarding the CRA's objection to the tax consequences of the conversion of EIC's income trust structure into a corporation in July 2009.

The agreement will not give rise to any cash outlay by the corporation for prior taxation years. EIC said it will prepare an overall update of the agreement's one-time impact on its deferred tax assets as part of its management's discussion and analysis accompanying its financial statements for the fourth quarter and year-end to be issued on Thursday.

"The agreement gives EIC a highly satisfactory ending to an important chapter. The resolution of this issue strengthens our balance sheet by eliminating any exposure for liability for prior periods. The agreement also eliminated any potential for years of costly litigation and allows management to focus full time on executing our core business plan of creating value for our shareholders," said Carmele Peter, president of EIC.


More to come