Agnico Eagle and O3 Mining Announce Subsequent Acquisition Transaction and Completion of Offer
Agnico Eagle Mines (NYSE: AEM) has successfully completed its take-over bid for O3 Mining, acquiring 95.6% of O3 Mining's outstanding common shares at $1.67 per share in cash. Following the mandatory 10-day extension period that expired on February 3, 2025, Agnico Eagle now controls 96.5% of O3 Mining's shares.
The companies will proceed with an amalgamation agreement under which Agnico Eagle will acquire the remaining O3 Mining shares. The amalgamation must be approved by two-thirds of O3 Mining shareholders' votes and a simple majority of minority shareholders. The transaction is expected to close before March 31, 2025, after which O3 Mining will be delisted from TSX Venture Exchange and become a private company wholly owned by Agnico Eagle.
Outstanding warrant holders will receive $1.67 in cash per warrant exercise following the amalgamation, instead of common shares. The warrants are currently exercisable at $1.45 until August 28, 2026.
Agnico Eagle Mines (NYSE: AEM) ha completato con successo la sua offerta pubblica di acquisto per O3 Mining, acquisendo il 95,6% delle azioni ordinarie emesse di O3 Mining a $1,67 per azione in contanti. A seguito del periodo di estensione obbligatoria di 10 giorni scaduto il 3 febbraio 2025, Agnico Eagle controlla ora il 96,5% delle azioni di O3 Mining.
Le società procederanno con un accordo di fusione secondo il quale Agnico Eagle acquisterà le azioni rimanenti di O3 Mining. La fusione deve essere approvata dai due terzi dei voti degli azionisti di O3 Mining e da una semplice maggioranza degli azionisti di minoranza. Si prevede che la transazione si chiuda entro il 31 marzo 2025, dopo di che O3 Mining sarà esclusa dalla TSX Venture Exchange e diventerà una società privata interamente posseduta da Agnico Eagle.
Detentori di warrant non esercitati riceveranno $1,67 in contanti per l'esercizio del warrant dopo la fusione, anziché azioni ordinarie. I warrant sono attualmente esercitabili a $1,45 fino al 28 agosto 2026.
Agnico Eagle Mines (NYSE: AEM) ha completado con éxito su oferta de adquisición por O3 Mining, adquiriendo el 95.6% de las acciones ordinarias en circulación de O3 Mining a $1.67 por acción en efectivo. Tras el periodo de prórroga obligatorio de 10 días que expiró el 3 de febrero de 2025, Agnico Eagle controla ahora el 96.5% de las acciones de O3 Mining.
Las empresas avanzarán con un acuerdo de fusión bajo el cual Agnico Eagle adquirirá las acciones restantes de O3 Mining. La fusión debe ser aprobada por los dos tercios de los votos de los accionistas de O3 Mining y una mayoría simple de los accionistas minoritarios. Se espera que la transacción se cierre antes del 31 de marzo de 2025, después de lo cual O3 Mining será deslistada de la TSX Venture Exchange y se convertirá en una empresa privada totalmente propiedad de Agnico Eagle.
Los titulares de warrants no ejercidos recibirán $1.67 en efectivo por el ejercicio del warrant tras la fusión, en lugar de acciones ordinarias. Los warrants son actualmente ejercitables a $1.45 hasta el 28 de agosto de 2026.
아그니코 이글 마인즈(Agnico Eagle Mines NYSE: AEM)는 O3 마이닝(O3 Mining)에 대한 인수 제안을 성공적으로 완료하여 O3 마이닝의 유통 보통주 95.6%를 주당 1.67달러에 현금으로 인수했습니다. 2025년 2월 3일 만료된 의무적인 10일 연장 기간 이후, 아그니코 이글은 O3 마이닝의 주식 96.5%를 관리하게 되었습니다.
양사는 아그니코 이글이 남은 O3 마이닝 주식을 인수하는 합병 계약을 진행할 것입니다. 합병은 O3 마이닝 주주의 3분의 2의 투표와 소수 주주의 단순 다수의 승인을 받아야 합니다. 이 거래는 2025년 3월 31일 이전에 마감될 것으로 예상되며, 이후 O3 마이닝은 TSX 벤처 거래소에서 상장 폐지되고 아그니코 이글이 완전히 소유하는 사기업이 될 것입니다.
발행된 워런트 보유자는 합병 후 보통주 대신 워런트 행사에 대해 1.67달러의 현금을 받을 것입니다. 워런트는 현재 2026년 8월 28일까지 주당 1.45달러로 행사할 수 있습니다.
Agnico Eagle Mines (NYSE: AEM) a réussi à finaliser son offre publique d'achat pour O3 Mining, acquérant 95,6% des actions ordinaires de O3 Mining à 1,67 $ par action en espèces. Suite à la période d'extension obligatoire de 10 jours qui a expiré le 3 février 2025, Agnico Eagle contrôle désormais 96,5% des actions de O3 Mining.
Les entreprises procéderont à un accord de fusion par lequel Agnico Eagle acquérera les actions restantes de O3 Mining. La fusion doit être approuvée par les deux tiers des votes des actionnaires de O3 Mining et par une majorité simple des actionnaires minoritaires. La transaction devrait être finalisée avant le 31 mars 2025, après quoi O3 Mining sera retirée de la TSX Venture Exchange et deviendra une entreprise privée entièrement détenue par Agnico Eagle.
Les détenteurs de warrants en circulation recevront 1,67 $ en espèces pour l'exercice du warrant après la fusion, au lieu d'actions ordinaires. Les warrants sont actuellement exerçables à 1,45 $ jusqu'au 28 août 2026.
Agnico Eagle Mines (NYSE: AEM) hat erfolgreich sein Übernahmeangebot für O3 Mining abgeschlossen und 95,6% der ausstehenden Stammaktien von O3 Mining zu je 1,67 USD in bar erworben. Nach der obligatorischen 10-tägigen Verlängerungsfrist, die am 3. Februar 2025 endete, kontrolliert Agnico Eagle nun 96,5% der O3 Mining-Aktien.
Die Unternehmen werden mit einem Fusionsvertrag fortfahren, wonach Agnico Eagle die verbleibenden O3 Mining-Aktien erwerben wird. Die Fusion muss von zwei Dritteln der Stimmen der Aktionäre von O3 Mining sowie von der einfachen Mehrheit der Minderheitsaktionäre genehmigt werden. Der Abschluss der Transaktion wird vor dem 31. März 2025 erwartet, nach dem O3 Mining von der TSX Venture Exchange gestrichen wird und ein privates Unternehmen wird, das vollständig im Besitz von Agnico Eagle ist.
Unmittelbare Inhaber von Warrants erhalten nach der Fusion 1,67 USD in bar pro Warrantausübung anstelle von Stammaktien. Die Warrants sind derzeit bis zum 28. August 2026 zum Preis von 1,45 USD ausübbar.
- Secured 96.5% ownership of O3 Mining, demonstrating strong shareholder support
- Transaction expected to close by March 31, 2025, providing clear timeline
- Warrants remain in-the-money at $1.45 exercise price vs $1.67 offer price
- Cash outlay required for remaining share acquisition and warrant exercises
- Additional administrative costs for amalgamation process and shareholder meeting
Insights
The successful completion of Agnico Eagle's takeover bid for O3 Mining marks a strategic consolidation in the mining sector, with several noteworthy aspects for investors:
- The
$1.67 per share cash consideration represents a clean exit for O3 Mining shareholders, with Agnico now controlling96.5% of shares. - The transaction structure, utilizing a subsequent amalgamation to acquire remaining shares, demonstrates efficient execution and provides certainty for both parties.
- The deal includes provisions for warrantholders, offering them the same
$1.67 cash consideration upon exercise, ensuring fair treatment of all security holders. - The presence of a
$10 million convertible debenture in the transaction structure shows sophisticated deal engineering to handle complex securities.
The acquisition streamlines Agnico's corporate structure and eliminates public company costs associated with maintaining O3 Mining as a separate entity. The mandatory 10-day extension period resulted in additional shares being tendered, indicating strong shareholder support for the transaction. The expected completion by March 31, 2025, provides a clear timeline for the final consolidation of ownership.
From a market perspective, this transaction reinforces Agnico Eagle's position as a leading consolidator in the mining sector, demonstrating their ability to execute complex transactions efficiently while maintaining strong corporate governance through special committee oversight and independent advisors.
- The Offer has now expired and Agnico Eagle has taken-up and acquired
95.6% of the issued and outstanding O3 Mining shares - Agnico Eagle and O3 Mining will enter into an amalgamation agreement under which Agnico Eagle will acquire all remaining O3 Mining shares by way of amalgamation
- Remaining O3 Mining shares (other than shares held by dissenting shareholders) and warrantholders who exercise their warrants after the amalgamation will receive
$1.67 - Questions or Need Assistance? Contact Laurel Hill Advisory Group for assistance at 1-877-452-7184 or email assistance@laurelhill.com
(All amounts expressed in Canadian dollars unless otherwise noted)
Subsequent Acquisition Transaction
Agnico Eagle Abitibi Acquisition Corp., a wholly-owned subsidiary of Agnico Eagle, and O3 Mining will amalgamate under the Business Corporations Act (
Each O3 Mining shareholder (other than Agnico Eagle and any O3 Mining shareholder who validly exercises dissent rights in relation to the Amalgamation) will, upon completion of the Amalgamation, receive one redeemable preferred share of Amalco (each, a "Redeemable Preferred Share") for each Common Share held immediately prior to the effective time of the Amalgamation. The Redeemable Preferred Shares will be automatically redeemed effective immediately following the effective time of the Amalgamation for
The Amalgamation must be approved by (i) at least two-thirds of the votes cast by O3 Mining shareholders at a special meeting of O3 Mining shareholders (the "Meeting") and (ii) a simple majority of the votes cast by O3 Mining shareholders at the Meeting, excluding votes from O3 Mining shareholders required to be excluded by Multilateral Instrument 61-101 – Protection of Minority Securityholders in Special Transactions ("MI 61-101"). As Agnico Eagle beneficially owns, and exercises control and direction over, Common Shares carrying more than two-thirds of the votes attached to all of the issued and outstanding Common Shares and the Common Shares taken-up and acquired under the Offer represent more than a majority of the votes attached to the Common Shares that may be voted in the "minority" vote under MI 61-101, Agnico Eagle is able to ensure the successful outcome of the shareholder votes in respect of the Amalgamation. The O3 Mining board recommends that O3 Mining shareholders vote FOR the Amalgamation.
Additional information regarding the terms of the amalgamation agreement and the Amalgamation will be provided in the management information circular of O3 Mining (the "Circular") for the Meeting. It is anticipated that the Circular will be mailed to O3 Mining shareholders in February 2025 and the Meeting will be held in March 2025. Copies of the amalgamation agreement and the Circular will be made available on O3 Mining's issuer profile on SEDAR+ at www.sedarplus.ca.
The Amalgamation is expected to close prior to March 31, 2025. Following completion of the Amalgamation, the Common Shares will be de-listed from the TSX Venture Exchange and O3 Mining will make an application to the Ontario Securities Commission to cease to be a reporting issuer under Canadian securities laws. Upon O3 Mining ceasing to be a reporting issuer, O3 Mining will no longer be subject to the ongoing continuous disclosure and reporting obligations currently imposed on O3 Mining as a reporting issuer and will be a private company that is wholly-owned by Agnico Eagle.
Information for Warrantholders
Certain Common Share purchase warrants of O3 Mining (the "Warrants") remain issued and outstanding, which are governed in accordance with the warrant indenture dated August 28, 2024 between O3 Mining and Odyssey Trust Company, as warrant agent. These Warrants are exercisable at
Updated Early Warning Disclosure Regarding O3 Mining
Immediately prior to the take-up of the Deposited Shares under the Offer, Agnico Eagle beneficially owned, and exercised control and direction over, 111,482,184 Common Shares, representing approximately
Agnico Eagle acquired an additional 4,360,806 Deposited Shares pursuant to the Offer during the mandatory 10-day extension period, representing all of the Common Shares validly deposited and not withdrawn as of 11:59 p.m. (EST) on February 3, 2025, for aggregate consideration of
An early warning report in respect of the foregoing will be filed by Agnico Eagle in accordance with applicable securities laws. To obtain a copy of the early warning report, please contact:
Agnico Eagle Mines Limited
c/o Investor Relations
145 King Street East, Suite 400
Telephone: 416-947-1212
Email: investor.relations@agnicoeagle.com
Agnico Eagle's head office is located at 145 King Street East, Suite 400,
Advisors
Edgehill Advisory Ltd. is acting as financial advisor to Agnico Eagle. Davies Ward Phillips & Vineberg LLP is acting as legal advisor to Agnico Eagle.
Maxit Capital is acting as financial advisor to O3 Mining. Bennett Jones LLP is acting as legal advisor to O3 Mining. Fort Capital is acting as financial advisor to the Special Committee of independent directors of O3 Mining. Cassels Brock & Blackwell LLP is acting as legal advisor to the Special Committee.
Odyssey Trust Company will act as depositary for the Amalgamation and Laurel Hill Advisory Group is acting as information agent. If you have any questions or require assistance, please contact Laurel Hill Advisory Group, by phone at 1-877-452-7187 or by e-mail at assistance@laurelhill.com.
About O3 Mining Inc.
O3 Mining Inc. is a gold explorer and mine developer in
About Agnico Eagle Mines Limited
Agnico Eagle is a Canadian based and led senior gold mining company and the third largest gold producer in the world, producing precious metals from operations in
Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation that is based on current expectations, estimates, projections, and interpretations about future events as at the date of this news release. Forward-looking information and statements are based on estimates of management by O3 Mining and Agnico Eagle, at the time they were made, and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information or statements. Forward-looking statements in this news release include, but are not limited to, statements regarding: the structure, consideration, timing and completion (if at all) of the Subsequent Acquisition Transaction; the ability of Agnico Eagle to complete the Subsequent Acquisition Transaction to acquire
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
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SOURCE Agnico Eagle Mines Limited
FAQ
What is the cash offer price per share for O3 Mining shareholders in AEM's acquisition?
When will AEM complete the acquisition of remaining O3 Mining shares?
What percentage of O3 Mining shares does AEM now control?
What happens to O3 Mining warrants after the AEM acquisition?
Will O3 Mining remain listed on the TSX Venture Exchange after AEM's acquisition?
