Agnico Eagle Mines Limited made a definitive offer to acquire the remaining 94.4% stake in Alexandria Minerals Corporation for CAD 24.6 million.
The transaction is not subject to any financing or due diligence condition. Alexandria's board of directors has determined that the proposal by Agnico constitutes a superior proposal as defined in the arrangement agreement dated May 14, 2019 (the "Chantrell Agreement") between Alexandria and Chantrell Ventures Corp. ("Chantrell"). Agnico has been advised by Alexandria that it has provided notice of the proposal to Chantrell as required by the Chantrell Agreement. Alexandria has also advised that, subject only to the expiry or waiver by Chantrell of Chantrell's right to match during the right to match period under the Chantrell Agreement, Alexandria proposes to enter into the definitive agreement with Agnico Eagle in connection with the Proposal. To enter the definitive agreement, Alexandria would first terminate the Chantrell Agreement and pay the termination fee of CAD 875,000. If accepted, the agreement will be subject to the approval of the Alexandria Shareholders. The Alexandira Board received a fairness opinion by INFOR Financial Inc. to the effect that, as of the date of their opinion, and subject to the assumptions, limitations and qualifications set out in such opinion, the consideration to be received by Alexandria Shareholders pursuant to the Agnico Offer is fair, from a financial point of view, to the Alexandria Shareholders. On June 24, 2019, Agnico Eagle announced that it will vote its shares against the proposed competing transaction with Chantrell. As of June 27, 2019, Chantrell entered into amendment agreement to acquire all outstanding shares of Alexandria in exchange of 0.018041 common shares of O3 Mining. The Board of Directors of Alexandria unanimously recommends that the Alexandria shareholders vote in favour of the resolution to approve the arrangement at the meeting which has been postponed as a result of amendment.