AGI - Alamos Gold to buy rest of Manitou Gold in C$14M deal

Alamos Gold ( NYSE: AGI ) said Tuesday it will acquire Manitou Gold ( OTCPK:MNTUF ) through a court-approved plan of arrangement, a deal it said will more than triple its regional land package around the Island Gold Deposit in Ontario to 55,277 hectares.

The package includes 40K hectares adjacent to and along strike from the Island Gold Mine, adding significant exploration potential across the relatively underexplored Michipicoten Greenstone Belt.

Alamos ( AGI ) said Manitou ( OTCPK:MNTUF ) shareholders will receive 0.003525 of an Alamos common share for each Manitou share, representing a value of C$0.05 per Manitou share.

Alamos ( AGI ) already owned 65.2M Manitou ( OTCPK:MNTUF ) shares, or a ~19% stake; excluding its existing ownership of Manitou, the company expects to issue ~1M shares for total consideration of C$14M.

Alamos Gold ( AGI ) recently reported Q4 adjusted earnings of $0.09/share on revenues of $2.32B .

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