Agnico Eagle Commences Friendly All-Cash Offer to Acquire O3 Mining
Agnico Eagle Mines (NYSE: AEM) has launched a friendly all-cash offer to acquire the remaining shares of O3 Mining at $1.67 per share, representing a 58% premium to O3's closing price on December 11, 2024. The offer has received unanimous recommendation from O3 Mining's Board and Special Committee, with shareholders representing 39% of outstanding shares already supporting the deal through lock-up agreements. These supporting shareholders include all directors and officers, Gold Fields , Extract Advisors , and certain Franklin Templeton managed funds. Shareholders must tender their shares by 11:59 p.m. (EST) on January 23, 2025 to participate in this offer.
Agnico Eagle Mines (NYSE: AEM) ha lanciato un'offerta amichevole in contanti per acquisire le restanti azioni di O3 Mining a 1,67 dollari per azione, rappresentando un premio del 58% rispetto al prezzo di chiusura di O3 dell'11 dicembre 2024. L'offerta ha ricevuto raccomandazione unanime dal Consiglio di Amministrazione e dal Comitato Speciale di O3 Mining, con azionisti che rappresentano il 39% delle azioni in circolazione che già supportano l'accordo tramite accordi di lock-up. Questi azionisti includono tutti i direttori e funzionari, Gold Fields, Extract Advisors e alcuni fondi gestiti da Franklin Templeton. Gli azionisti devono offrire le loro azioni entro le 23:59 (EST) del 23 gennaio 2025 per partecipare a questa offerta.
Agnico Eagle Mines (NYSE: AEM) ha lanzado una oferta amistosa en efectivo para adquirir las acciones restantes de O3 Mining a $1.67 por acción, lo que representa una prima del 58% sobre el precio de cierre de O3 del 11 de diciembre de 2024. La oferta ha recibido una recomendación unánime de la Junta y el Comité Especial de O3 Mining, con accionistas que representan el 39% de las acciones en circulación apoyando ya el acuerdo a través de acuerdos de lock-up. Estos accionistas de apoyo incluyen a todos los directores y funcionarios, Gold Fields, Extract Advisors y ciertos fondos administrados por Franklin Templeton. Los accionistas deben entregar sus acciones antes de las 11:59 p.m. (EST) del 23 de enero de 2025 para participar en esta oferta.
Agnico Eagle Mines (NYSE: AEM)의 이사회는 O3 Mining의 남은 주식을 주당 $1.67에 인수하기 위한 우호적인 현금 제안을 발표했습니다. 이는 2024년 12월 11일 O3의 종가에 비해 58%의 프리미엄을 나타냅니다. 이 제안은 O3 Mining의 이사회와 특별위원회의 만장일치 추천을 받았으며, 39%의 유통주식을 대표하는 주주들이 이미 잠금 계약을 통해 거래를 지지하고 있습니다. 이 지지하는 주주에는 모든 이사 및 임원, Gold Fields, Extract Advisors 및 특정 Franklin Templeton 관리 펀드가 포함됩니다. 주주들은 2025년 1월 23일 오후 11시 59분(EST)까지 자신의 주식을 제출해야 이 제안에 참여할 수 있습니다.
Agnico Eagle Mines (NYSE: AEM) a lancé une offre amicale en espèces pour acquérir les actions restantes de O3 Mining à 1,67 $ par action, représentant une prime de 58 % par rapport au prix de clôture d'O3 du 11 décembre 2024. L'offre a reçu une recommandation unanime du Conseil d'administration et du Comité spécial d'O3 Mining, avec des actionnaires représentant 39 % des actions en circulation soutenant déjà l'accord par le biais d'accords de lock-up. Ces actionnaires soutenants comprennent tous les directeurs et dirigeants, Gold Fields, Extract Advisors et certains fonds gérés par Franklin Templeton. Les actionnaires doivent céder leurs actions avant 23h59 (EST) le 23 janvier 2025 pour participer à cette offre.
Agnico Eagle Mines (NYSE: AEM) hat ein freundliches Barangebot zum Erwerb der verbleibenden Aktien von O3 Mining zu 1,67 $ pro Aktie gestartet, was einem Aufschlag von 58 % gegenüber dem Schlusskurs von O3 am 11. Dezember 2024 entspricht. Das Angebot hat die einstimmige Empfehlung des Vorstands und des Sonderausschusses von O3 Mining erhalten, wobei Aktionäre, die 39 % der ausstehenden Aktien repräsentieren, das Geschäft bereits durch Lock-up-Vereinbarungen unterstützen. Zu diesen unterstützenden Aktionären gehören alle Direktoren und Führungskräfte, Gold Fields, Extract Advisors und bestimmte von Franklin Templeton verwaltete Fonds. Aktionäre müssen ihre Aktien bis zum 23. Januar 2025 um 23:59 Uhr (EST) anbieten, um an diesem Angebot teilzunehmen.
- 58% premium offered over O3 Mining's closing price
- 39% of shareholders already committed through lock-up agreements
- Unanimous board recommendation supporting the deal
- None.
Insights
This
The transaction structure as an all-cash offer provides certainty for O3 Mining shareholders and eliminates integration risks typically associated with share-based deals. For Agnico Eagle, this acquisition aligns with their strategy of expanding their portfolio through targeted acquisitions in stable mining jurisdictions. The unanimous board recommendation and support from institutional investors like Gold Fields adds credibility to the deal's valuation.
From a market perspective, this acquisition demonstrates continued consolidation in the precious metals sector, where larger players are leveraging their strong balance sheets to acquire junior miners at attractive valuations. The timing of the offer, amid volatile precious metal prices, suggests Agnico Eagle is positioning itself for long-term growth through strategic asset acquisition.
The acquisition timing is particularly strategic in the current market environment. With gold prices maintaining strong levels, Agnico Eagle's move to acquire O3 Mining reinforces the trend of major producers securing future production potential through junior miner acquisitions. The all-cash structure of
The deal's structure with a
- All cash offer of
$1.67 58% premium to O3 Mining's closing price on December 11, 2024 - Offer unanimously recommended by Board and Special Committee of O3 Mining and supported by shareholders representing
39% of outstanding shares of O3 Mining - Shareholders should tender by 11:59 p.m. (EST) on January 23, 2025 to take advantage of the significant offer
(All amounts expressed in Canadian dollars unless otherwise noted)
The board of directors of O3 Mining unanimously recommends that O3 Mining shareholders deposit their Common Shares under the Offer. All of the directors and officers of O3 Mining, as well as Gold Fields Limited (through its wholly-owned subsidiary), O3 Mining's largest shareholder, Extract Advisors LLC, and certain Franklin Templeton managed funds, representing in the aggregate approximately
For a detailed description of the Offer, see O3 Mining and Agnico Eagle's joint news release of December 12, 2024, available at: https://www.agnicoeagle.com/English/investor-relations/news-and-events/news-releases/news-release-details/2024/Agnico-Eagle-to-Acquire-O3-Mining-in-Friendly-Transaction.
Full details of the Offer are contained in the take-over bid circular of Agnico Eagle and the corresponding directors' circular of O3 Mining, which are available on SEDAR+ (www.sedarplus.ca) under O3 Mining's issuer profile, and on O3 Mining's and Agnico Eagle's respective corporate websites.
Timing
The Offer is open for a limited time only and O3 Mining shareholders are encouraged to act now to participate. The Offer is open until 11:59 p.m. (EST) on January 23, 2025 (the "Expiry Time").
O3 Mining shareholders whose Common Shares are held through a broker, bank or other intermediary should immediately contact that intermediary for assistance if they wish to accept the Offer – intermediaries have likely established tendering cut-off times that are prior to the Expiry Time.
How to Tender Your Shares; Postal Strike
Only O3 Mining shareholders who tender their Common Shares will receive the cash consideration of
Shareholder type: | How do I tender my Common Shares to the Agnico Eagle Offer? |
Beneficial Most O3 Mining shareholders are beneficial shareholders. This means your Common Shares are held through a broker, bank or other financial intermediary, and you do not have a share certificate or DRS advice. | Contact your bank or your broker immediately and instruct them to tender your Common Shares to the Offer. |
Registered You are a registered shareholder if you hold your Common Shares directly and may have a share certificate or DRS advice. | Contact Laurel Hill Advisory Group: |
In light of the expected mail disruption following the Canada Post labour strike, shareholders are encouraged to stay up to date on the Offer by visiting: https://www.agnicoeagle.com/Offer-for-O3-Mining/default.aspx. Shareholders are also asked not to mail in any Letter of Transmittal or share certificates at this time. Instead, shareholders may contact Laurel Hill Advisory Group.
Deposit Period News Release
This news release constitutes a "deposit period news release" for purposes of National Instrument 62-104 – Take-Over Bids and Issuer Bids. O3 Mining confirms that the initial deposit period of the Offer is 35 days commencing on December 19, 2024, the date of the Offer, and will expire at 11:59 p.m. (EST) on January 23, 2025.
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 LP is acting as financial advisor to O3 Mining. Bennett Jones LLP is acting as legal advisor to O3 Mining. Fort Capital Partners is acting as financial advisor to the Special Committee. Cassels Brock & Blackwell LLP is acting as legal advisor to the Special Committee.
The Depositary and Information Agent for the Offer is Laurel Hill Advisory Group. If you have any questions or require assistance with tendering to the Offer, 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 Offer, including the anticipated timing of expiration, mechanics, funding, completion, settlement, results and effects of the Offer and the other benefits of the transaction; the anticipated next stage of development of the Marban Alliance project; and the expectation that the Marban Alliance project will deliver long-term benefits to stakeholders. Material factors or assumptions that were applied in formulating the forward-looking information contained herein include, without limitation, the expectations and beliefs of Agnico Eagle and O3 Mining that the Offer will be made in accordance with the support agreement between Agnico Eagle and O3 Mining dated December 12, 2024, and will be successful, that all required regulatory consents and approvals will be obtained and all other conditions to completion of the transaction will be satisfied or waived, and the ability to achieve goals, including the integration of the Marban Alliance property to the Canadian Malartic land package and the ability to realize synergies arising therefrom. Agnico Eagle and O3 Mining caution that the foregoing list of material factors and assumptions is not exhaustive. Although the forward-looking information contained in this news release is based upon what Agnico Eagle and O3 Mining believe, or believed at the time, to be reasonable expectations and assumptions, there is no assurance that actual results will be consistent with such forward-looking information, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither O3 Mining, nor Agnico Eagle nor any other person assumes responsibility for the accuracy and completeness of any such forward-looking information. No assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. O3 Mining and Agnico Eagle do not undertake, and assume no obligation, to update or revise any such forward-looking statements or forward-looking information contained herein to reflect new events or circumstances, except as may be required by applicable law. These statements speak only as of the date of this news release. Nothing contained herein shall be deemed to be a forecast, projection or estimate of the future financial performance of Agnico Eagle or any of its affiliates or O3 Mining.
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.
View original content to download multimedia:https://www.prnewswire.com/news-releases/agnico-eagle-commences-friendly-all-cash-offer-to-acquire-o3-mining-302336127.html
SOURCE Agnico Eagle Mines Limited
FAQ
What is the offer price per share in Agnico Eagle's acquisition of O3 Mining?
When is the deadline to tender shares in the AEM-O3 Mining deal?
What premium does AEM's offer represent over O3 Mining's stock price?
What percentage of O3 Mining shareholders have agreed to support the AEM acquisition?
How can O3 Mining shareholders tender their shares to AEM's offer?
