ASX-listed Perseus Mining has agreed to sell 33-million common shares in the capital of TSX-V-listed gold explorer and aspiring developer Montage Gold Corp to BMO Nesbitt Burns at a price C$1.86 a share.
Perseus notes that the Montage share sale was executed by way of a bought deal to realise net proceeds of C$61.38-million.
Perseus acquired the shares in Montage when it acquired Orca Gold in May 2022.
Orca’s principal asset was a 70% interest in the Block 14 gold project – since renamed the Meyas Sands gold project – in Sudan and the shareholding in Montage was considered by Perseus to be noncore.
Perseus says cash proceeds from the sale of the Montage shares will be used to further strengthen Perseus’ balance sheet following its recent acquisition of a strategic stake in ASX-listed Predictive Discovery, the owner of the Bankan gold project in Guinea, at a cost of about $57.9-million.
“We are very pleased to have successfully completed the sale of the Montage shareholding at a price that will largely offset the cost of our recent acquisition of a strategic stake in Predictive’s Bankan gold project, which we believe is a potentially attractive gold development project,” says Perseus chairperson and CEO Jeff Quartermaine. 