Gatos Silver posts solid 2024, prepares for takeover by First Majestic
The deal will merge Gatos’ main Cerro Los Gatos mine with First Majestic’s San Dimas mine in Durango, and its Santa Elena operation in Sonora.
Rio Tinto’s unit Turquoise Hill Resources Ltd will present a $2.4 billion rights offer in order to pay down credit facilities.
In the offer, Turquoise Hill Resources investors will be entitled to purchase an additional share at a 42% discount on closing prices in New York and Toronto ($2.40 and C$2.53, respectively) on November 25th.
The company expects to double the number of outstanding common shares with the offer, using the proceeds to repay a $1.8 billion interim credit facility and a $600 million bridging facility.
Turquoise Hill shares rose 1.8 percent to C$4.47 on Tuesday.
