Parties
Company
Alamos Gold Inc.
Company
Argonaut Gold Inc.
On March 27, 2024, Alamos Gold Inc. acquired Argonaut Gold Inc. in a deal valued at $440 million (US$325 million), creating one of Canada's largest, lowest-cost gold mines. The transaction included Alamos obtaining Argonaut's Magino mine in Ontario, expected to significantly increase Alamos' gold production. Argonaut's assets in the U.S. and Mexico were spun off into a new entity, SpinCo, for its shareholders. Each Argonaut share was exchanged for 0.0185 Alamos shares and one SpinCo share, reflecting a 34% premium based on the closing prices on March 26, 2024. The deal promised operational synergies worth about $697 million (US$515 million), with Alamos' production potentially exceeding 900,000 ounces annually. The transaction, set for court and shareholder approval, was backed by financial advice from CIBC Capital Markets for Alamos and Scotiabank for Argonaut, with legal advice from Torys LLP and Bennett Jones LLP, respectively. Alamos also committed to a $50 million private placement in Argonaut, solidifying its financial and operational footprint in the gold mining sector.
Deal Type
Merger & AcquisitionIndustry
MiningTransaction
$ 439,578,750Deal Status
ActiveClosing Date