(Reuters) - Canadian miner Endeavour Mining Corp (EDV.TO) agreed to buy True Gold Mining Inc TGM.V for about C$240 million in stock giving it access to a low-cost gold mine nearing production in Burkina Faso.
Endeavour will pay 0.044 of its share for each True Gold share. The offer values True Gold at about C$0.57 per share, a premium of roughly 43 percent to the stock’s close on Thursday.
The deal is expected to close in late-April, True Gold said in a statement.
National Bank Financial Inc is acting as financial adviser to True Gold and Blake, Cassels & Graydon LLP is the legal counsel. Haywood Securities Inc provided a fairness opinion on the deal.
Reporting by Manish Parashar in Bengaluru; Editing by Savio D'Souza