Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Barrick Gold Corp. (GOLD-N; ABX-T) said it has made a proposal to acquire all of the shares of London-listed Acacia Mining (ACA-L) that it doesn’t already own through a share for share exchange of 0.153 Barrick shares for each ordinary share of Acacia.
Barrick said the exchange ratio is based on the 20-day volume weighted average trading prices of Acacia and Barrick as at market close in London and New York on Monday. Barrick said it implies a value for Acacia of US$787-million and total consideration to the minority shareholders of Acacia of US$285-million. Barrick currently owns about 64 per cent of the company.
Barrick stated in the release that it has been negotiating with the Government of Tanzania (GoT) for the last two years to settle Acacia’s ongoing disputes. "As a consequence of the negotiations with the GoT, Barrick has had the opportunity to undertake detailed due diligence on the Acacia assets and on the basis of this work has concluded that the proposal on the terms set out above reflects the fair value of the company," Barrick stated. "Since the proposal is in Barrick shares, the Acacia minority shareholders will be able to benefit from any future potential upside in both the Acacia assets and Barrick’s broader portfolio of assets."
Acacia recently hit back at Barrick’s allegation the miner was an obstacle to solving a long-running tax dispute in Tanzania. The Reuters news agency reported that Acacia "has been caught up in sweeping changes to Tanzania’s mining industry spearheaded by President John Magufuli, who believes his country is not getting its fair share of profits."
-with a file from Reuters
Ballard Power Systems (BLDP-Q; BLDP-T) announced its collaboration with ABB and other consortium partners in the Flagships project to develop and launch a zero-emission river push boat, planned for deployment in France in 2021 to push river barges. Ballard said in a release that it is planning to deliver two of its next-generation 200-kilowatt fuel cell modules in 2020, which will provide propulsion power for the vessel.
"The river push boat will be owned and operated by Sogestran Group subsidiary Compagnie Fluviale de Transport (CFT) on the Rhône river in France, with the objective of demonstrating that fuel cell-powered propulsion offers a cost-effective and practical zero-emission solution for owners and builders of mid-sized vessels carrying more than 100 passengers or the equivalent freight volumes inland or coastally," the company stated.
Invesque Inc. (IVQ-U-T) announced that it will acquire Commonwealth Senior Living, LLC and 20 of its communities for US$340.4-million. “The transaction represents a significant expansion of the company’s portfolio, increasing the number of properties from 102 to 122, and the number of beds from 9,128 to 10,844 across 20 U.S. states and two Canadian provinces,” the company stated. “The transaction significantly enhances the company’s operator, geographic and property-type diversification.”
Equinox Gold Corp. (EQX-X) announced it has sold its Elk Gold Property in B.C. to Bayshore Minerals Inc. for $10-million, which includes $1-million in cash and $9-million in a first ranking secured promissory note payable in annual instalments of $3-million. Equinox said the amount due under the promissory note may be adjusted to a total of $8-million within two years, “that will represent full and final payment; or if Bayshore pays a total of $9.5-million within three years from closing, that will represent full and final payment.”
Maverix Metals Inc. (MMX-X) announced that it has applied to list its common shares on the NYSE American, LLC and that it intends to graduate to the Toronto Stock Exchange. “Our anticipated listings on the NYSE American and the TSX represent meaningful milestones in the growth of the company,” stated Dan O’Flaherty, Maverix’s CEO. “These listings will expose Maverix to a much broader array of institutional and retail investors as we continue to enhance our portfolio of precious metals royalties and streams.”