(All amounts expressed in Canadian
dollars unless otherwise noted)
TORONTO, Feb. 10, 2020 /PRNewswire/ - Agnico Eagle
Mines Limited (NYSE: AEM, TSX: AEM) ("Agnico Eagle")
announced today that it has agreed to subscribe for 15,391,605
units ("Units") of Rupert Resources Ltd. (TSX-V: RUP)
("Rupert") in a non-brokered private placement at a price of
$0.85 per Unit for total
consideration of $13,082,864.
Each Unit is comprised of one common share of Rupert (a "Common
Share") and 0.75 of one common share purchase warrant of Rupert
(each full common share purchase warrant, a "Warrant"). Each
Warrant entitles the holder to acquire one Common Share at a price
of $1.00 for a period of three years
following the closing date of the private placement. Closing is
expected to occur on February 12,
2020 and is subject to certain conditions.
On closing of the private placement, Agnico Eagle will own
15,391,605 Common Shares and 11,543,703 Warrants, representing
approximately 9.9% of the issued and outstanding Common Shares on a
non-diluted basis and 16.1% of the issued and outstanding
Common Shares on a partially-diluted basis.
Agnico Eagle and Rupert have agreed to enter into an investor
rights agreement on closing of the private placement pursuant to
which Agnico Eagle will be granted certain rights, provided Agnico
Eagle maintains certain ownership thresholds in Rupert, including:
(i) the right to participate in equity financings in order to
maintain its pro rata ownership in Rupert at the time of
such financing or acquire up to a 9.9% or 16.1% ownership interest
in Rupert (depending on whether Agnico Eagle has exercised the
Warrants at such time); and (ii) the right (which Agnico Eagle has
no present intention of exercising) to nominate one person (and in
the case of an increase in the size of the board of directors of
Rupert to eight or more directors, two persons) to the board of
directors of Rupert.
Agnico Eagle is acquiring the Common Shares and the Warrants for
investment purposes. Depending on market conditions and other
factors, Agnico Eagle may, from time to time, acquire additional
Common Shares, common share purchase warrants or other securities
of Rupert or dispose of some or all of the Common Shares, common
share purchase warrants or other securities of Rupert that it owns
at such time.
An early warning report will be filed by Agnico Eagle in
accordance with applicable securities laws. To obtain a copy of the
early warning report, please contact:
Aurea Dela Resma
Agnico Eagle Mines Limited
145 King Street East, Suite 400
Toronto, Ontario M5C 2Y7
Telephone: 416-947-1212
Agnico Eagle's head office is located at 145 King Street East,
Suite 400, Toronto, Ontario M5C
2Y7. Rupert's head office is located at 82 Richmond Street
East, Suite 203, Toronto, Ontario,
M5C 1P1.
About Agnico Eagle
Agnico Eagle is a senior Canadian gold mining company that has
produced precious metals since 1957. Its operating mines are
located in Canada, Finland and Mexico, with exploration and development
activities in each of these countries as well as in the United States and Sweden. Agnico Eagle and its shareholders have
full exposure to gold prices due to its long-standing policy of no
forward gold sales. Agnico Eagle has declared a cash dividend every
year since 1983.
Forward-Looking Statements
The information in this news release has been prepared as at
February 10, 2020. Certain
statements in this news release, referred to herein as
"forward-looking statements", constitute "forward-looking
statements" within the meaning of the United States Private
Securities Litigation Reform Act of 1995 and "forward-looking
information" under the provisions of Canadian provincial securities
laws. These statements can be identified by the use of words
such as "may", "will" or similar terms.
Forward-looking statements in this news release include, without
limitation, statements relating to the expected closing date of the
private placement, Agnico Eagle's ownership interest in Rupert upon
closing of the private placement, Agnico Eagle's acquisition or
disposition of securities of Rupert in the future and the terms of
the investor rights agreement.
Forward-looking statements are necessarily based upon a number
of factors and assumptions that, while considered reasonable by
Agnico Eagle as of the date of such statements, are inherently
subject to significant business, economic and competitive
uncertainties and contingencies. Many factors, known and
unknown, could cause actual results to be materially different from
those expressed or implied by such forward-looking
statements. Readers are cautioned not to place undue reliance
on these forward-looking statements, which speak only as of the
date made. Other than as required by law, Agnico Eagle does
not intend, and does not assume any obligation, to update these
forward-looking statements.
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SOURCE Agnico Eagle Mines Limited