Nighthawk and Moneta Gold to merge and create a leading gold development company
Nighthawk Gold Corp. and Moneta Gold Inc. have announced an at-market merger deal, in which Moneta will acquire all of Nighthawk’s shares in exchange for its own shares. The resulting entity, MergeCo, will own two large-scale gold projects in Canada: the Tower Gold Project and the Colomac Gold Project.
The merger will require the approval of both Nighthawk and Moneta shareholders, as well as court and regulatory approvals. The deal is also subject to the completion of a C$12.5 million bought deal financing by Nighthawk, which will provide MergeCo with a strong balance sheet.
The CEOs of both companies said that the merger will create a unique value proposition for shareholders, as MergeCo will have a high-quality portfolio of assets in established and emerging mining camps. They also said that they look forward to working together to unlock significant value for MergeCo.
Keyvan Salehi, President, CEO and Director of Nighthawk, and Josef Vejvoda, Interim CEO & Chairman of Moneta, jointly commented: “We believe that the Transaction presents an exciting opportunity to create a leading gold development company by bringing together two cornerstone assets in Canada. The combined company will benefit from a strong balance sheet, led by a skilled leadership team, and a high-quality portfolio anchored by two robust, large-scale assets in established and emerging mining camps. We believe that MergeCo offers a truly unique value proposition, and we look forward to working towards unlocking significant value for shareholders of the MergeCo.”
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