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Mining News July 20, 2020 05:15:18 PM

Alacer Gold's Acquisition by SSR Mining Clears Final Hurdle

Paul Ploumis
ScrapMonster Author
The all-stock, zero-premium deal was valued at $1.7 billion.

Alacer Gold's Acquisition by SSR Mining Clears Final Hurdle

SEATTLE (Scrap Monster): The merger deal between Alacer Gold and SSR Mining Inc. has received final nod from the Supreme Court of Yukon. The completion of the transaction is now subject to the receipt of certain regulatory approvals and satisfaction of other customary closing conditions.

Accordingly, Alacer’s flagship Copler gold mine in east-central Turkey will be added to SSR’s portfolio. Further to the merger deal, Alacer shareholders will be awarded 0.3246 SSR Mining shares for each Alacer share held by them. Upon closing, SSR Mining shareholders will own 57% of the combined entity, whereas the balance 43% will be held by Alacer shareholders.

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The two companies had entered into a definitive agreement, aimed at creating a free-cash flow focused, diversified gold producer in May this year. The all-stock, zero-premium deal was valued at $1.7 billion. The transaction was approved by shareholders of both the companies in the month of July. Nearly 99.9% of the votes cast by Alacer shareholders and 96.5% of the votes cast by SSR Mining were in favour of the merger deal.

The merged entity is expected to produce an average of 780,000 gold equivalent ounces over the next three years at an all-in-sustaining-cost (AISC) of approximately $900 per ounce.

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