Steppe Gold Ltd. (TSX: STGO | OTCQX: STPGF | FSE: 2J9) has announced that it has filed with the applicable Canadian securities regulatory authorities the management information circular dated 8 May 2024 and related meeting materials of Steppe Gold for use at the annual general and special meeting of Steppe Gold shareholders to be held in connection with the proposed transaction with Boroo Gold LLC and Boroo Pte Ltd., or one of its affiliates, as previously announced on 11 April 2024.
Steppe Gold has also mailed copies of the meeting materials to shareholders entitled to vote on the transaction at the meeting.
At the meeting, shareholders will be asked to consider and, if deemed advisable, to approve the transaction. If the transaction is completed: (i) Steppe Gold will acquire all of the issued and outstanding shares of Boroo Gold in return for the issuance of that number of common shares in the capital of Steppe Gold that would result in Boroo Singapore, directly or indirectly, holding 55.9% of the issued and outstanding common shares; and (ii) Boroo Singapore will acquire the Tres Cruces Oxide Project by purchasing all of the issued and outstanding shares of two of Steppe Gold’s indirect, wholly-owned subsidiaries for aggregate cash consideration of approximately C$12M.
Additionally, the company expects the transaction to provide meaningful benefits to shareholders, including:
- Increased combined gold production to 90,000oz per annum in 2025 and 150,000oz gold equivalent per annum by 2026
- Strong cash flow and increased financial strength to service ATO Gold Mine Phase 2 Expansion debt and project financing
- Funding for exploration programmes and further acquisition opportunities in Mongolia.
- Liquidity from the sale of the Tres Cruces Project
- Creation of a multi-asset producer with a strong base and focus on Mongolia
To find out more, please visit www.steppegold.com
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