On August 31, 2023, AuTECO Mining announced that it has agreed to purchase the Green Bay copper-gold project located in Newfoundland, Canada. The deal, valued at $55 million, encompasses the Ming Mine and Nugget Pond processing facility. Bids for the project were solicited under the CCAA restructuring proceedings of Rambler Group.
AuTECO’s bid included the offer to purchase the assets by way of the cancellation of all outstanding issued capital in the Rambler Group and the issuance of new shares in the company, and a reverse vesting order. The acquisition will be financed through a two-tranche placement led by Canaccord Genuity. The first tranche will consist of $50 million, with $35 million in cash and $15 million in shares. Subsequently, within 18 months following completion, an extra consideration of $7.5 million in cash, coupled with shares valued at $7.5 million will be disbursed.
AuTECO Minerals is a publicly-listed gold exploration company headquartered in Australia. Incorporated in 2004, the company is advancing the high-grade Pickle Crow Project in the world-class Uchi sub-province of Ontario, Canada.
The Green Bay copper-gold project is in the Baie Verte district of north-east Newfoundland, Canada. The province of Newfoundland and Labrador has been recognized as a top four global mining investment jurisdiction in the 2022 Fraser Institute Annual Survey of Mining Companies.
Osler, Hoskin & Harcourt LLP advised AuTECO with a team consisting of Alan Hutchinson (Corporate), Marc Wasserman, Kathryn Esaw, Justin Kanji, and Davis Haugen (Insolvency & Restructuring).