BTG - B2Gold to Buy Sabina Gold for C$1.87/share in all-stock deal

B2Gold ( NYSE: BTG ) -2.5% pre-market Monday after agreeing to acquire Sabina Gold & Silver ( OTCQX:SGSVF ) for ~C$1.1B in an all-stock deal.

Under the deal terms, B2Gold ( BTG ) will issue 0.3867 of a common share for each Sabina ( OTCQX:SGSVF ) common share held, representing consideration of C$1.87/share and implying a 45% premium to Sabina's closing price on the Toronto Stock Exchange as of February 2, the date the non-binding letter of intent was signed.

The deal includes Sabina's ( OTCQX:SGSVF ) Goose project in Nunavut, China, which is expected to average 223K oz gold/year over a 15-year life of mine from 3.6M oz of mineral reserves averaging 5.97 g/t gold.

B2Gold ( BTG ) previously reported Q4 production of 367.9K oz, a record for the company by a wide margin, Taylor Dart writes in an analysis published recently on Seeking Alpha .

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