Gold, News

Another gold takeover for Catalyst Metals

Catalyst Metals has announced it will extend the offer period for its Vango takeover bid.

Catalyst Metals has completed its $66 million takeover of Vango Mining.  

Catalyst now holds a 100 per cent controlling interest in Vango, paying shareholders five Catalyst shares for every 115 Vango shares held.  

The offer represents an implied value of $0.052 per Vango share. 

The takeover was aimed at securing Vango’s one-million-ounce (Moz) resource at 3.3 grams per tonne gold in the Marymia gold project in WA. 

Vango’s tenements along the belt host over 40km of highly prospective and underexplored strike  

The metals miner first opened talks of a takeover in January this year. Originally set to close on February 20, Catalyst extended its offer to March 6.  

At closing, Catalyst held roughly 96 per cent of Vango shares, the remainder of which it compulsorily acquired.  

Marymia is adjacent to the Plutonic gold project, which has a 5.9Moz resource, a processing capacity pf three million tonnes per annum and annual production of 70,000 ounces of gold per annum.  

Catalyst Metals acquired Plutonic when it merged with Canadian-based Superior Gold last month. 

Superior’s shareholders received an exchange rate of 0.3571 of ordinary share in Catalyst for each Superior share held. This equates to $0.44 per Superior share, making for a total equity value for Superior of roughly $59 million.   

“This transaction is important for Catalyst and Vango shareholders. It turns a new leaf for the future of both companies,” Catalyst managing director and chief executive officer James Champion said. 

“The combined group will have the financial strength and technical expertise to unlock the value of the prospective Marymia tenements. 

“There is immense potential to create significant value for all shareholders.” 

With this latest acquisition, Catalyst has now consolidated its gold portfolio in the Marymia-Plutonic gold belt.  

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