Renaissance Gold gets green light from shareholders for merger with Evrim

Renaissance Gold Inc (CVE:REN) (OTCQB:RNSGF) announced Thursday that shareholders have approved the company’s planned merger with precious and base metals project generator Evrim Resources Corp.

Under the terms of the deal, Evrim will acquire all outstanding RenGold common shares in a share exchange transaction. Each RenGold share will be swapped for roughly 1.2 Evrim shares, giving shareholders of each company a 50% in the combined entity. 

The newly formed company will change its name to Orogen Royalties Inc and will focus on project generation with an increased focus on royalty creation and acquisition.

READ: Renaissance Gold sells its South Roberts gold project in exchange for a 1% royalty on future gold production

Orogen’s royalty portfolio will contain a 2% net smelter return (NSR) on the Ermitaño West gold deposit in Sonora, being developed by First Majestic Silver Corp and planned to be in production in 2021, and a 1% NSR on the Silicon gold project in Nevada, operated by AngloGold Ashanti NA.

The deal was approved by 99.9% of votes cast at RenGold’s special meeting of shareholders, the company said. The merger is subject to approval from the Supreme Court of British Columbia.

Should everything go to plan, the merger is expected to become effective on or around August 18.

Contact Andrew Kessel at [email protected]

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Story by ProactiveInvestors