VANCOUVER, Nov. 5, 2015 /CNW/ - Endeavour Mining
Corporation ("Endeavour Mining") (TSX:EDV) (ASX:EVR) (OTCQX:EDVMF)
announces that at a special meeting of its shareholders held today,
it received shareholder approval for the partnership with La Mancha
Holding S.àr.l. and Naguib Sawiris,
which results in them becoming Endeavour Mining's largest
shareholder and long-term strategic partner. Endeavour Mining also
received approval for a 1 new for 10 old consolidation of its
shares. The transaction is expected to complete on or about
November 12, 2015, subject to
customary closing conditions. The share consolidation is expected
to become effective on completion of the acquisition.
In the transaction, Endeavour Mining is acquiring La Mancha's
55% interest in Société des Mines d'Ity S.A. (SMI), which operates
the Ity Gold Mine in Côte d'Ivoire, plus various regional
exploration properties. La Mancha will also contribute
US$63 million of cash to Endeavour
Mining (including an estimated $25
million of attributable cash held in SMI). La
Mancha will be issued 177,061,572 new Endeavour Mining shares
representing 30.0% of the enlarged share capital.
Shareholders holding 204,965,712 or 49.6% of the outstanding shares
of the Corporation were present in person or by proxy at the
special meeting held earlier today. Details of the vote are
set out below.
Resolution
|
Votes
For
|
%
For
|
Votes
Against
|
%
Against
|
Share
Issuance
|
191,377,697
|
93.4%
|
13,458,027
|
6.6%
|
Share
Consolidation
|
197,725,386
|
96.5%
|
7,240,326
|
3.5%
|
Neil Woodyer, CEO,
stated
"We are very pleased with the strong support from our
shareholders for this transaction with La Mancha and Naguib Sawiris, and the endorsement of our
growth strategy. This partnership builds on our respective
successes in Côte d'Ivoire to secure Endeavour's platform for growth with the
shared vision of creating a premier African gold producer."
About Endeavour Mining Corporation
Endeavour Mining is
a Canadian-based intermediate gold mining company producing 500,000
ounces per year from four mines in West
Africa, and with the newly acquired Ity Mine becoming its
fifth mine the gold production rate increases to 580,000 ounces per
year. Endeavour Mining is focused on effectively managing its
existing assets to maximize cash flow as well as pursuing organic
and strategic growth opportunities that benefit from its management
and operational expertise.
On behalf of Endeavour Mining Corporation
Neil Woodyer
Chief Executive Officer
This news release contains "forward-looking statements"
including but not limited to, statements with respect to Endeavour
Mining's plans and operating performance, the estimation of mineral
reserves and resources, the timing and amount of estimated future
production, costs of future production, future capital
expenditures, and the success of exploration activities. Generally,
these forward-looking statements can be identified by the use of
forward-looking terminology such as "expects", "expected",
"budgeted", "forecasts" and "anticipates". Forward-looking
statements, while based on management's best estimates and
assumptions, are subject to risks and uncertainties that may cause
actual results to be materially different from those expressed or
implied by such forward-looking statements, including but not
limited to: risks related to the successful integration of
acquisitions; risks related to international operations; risks
related to general economic conditions and credit availability,
actual results of current exploration activities, unanticipated
reclamation expenses; changes in project parameters as plans
continue to be refined; fluctuations in prices of metals including
gold; fluctuations in foreign currency exchange rates, increases in
market prices of mining consumables, possible variations in ore
reserves, grade or recovery rates; failure of plant, equipment or
processes to operate as anticipated; accidents, labour disputes,
title disputes, claims and limitations on insurance coverage and
other risks of the mining industry; delays in the completion of
development or construction activities, changes in national and
local government regulation of mining operations, tax rules and
regulations, and political and economic developments in countries
in which Endeavour Mining operates. Although Endeavour Mining has
attempted to identify important factors that could cause actual
results to differ materially from those contained in
forward-looking statements, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can
be no assurance that such statements will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking statements. Please refer to
Endeavour Mining's most recent Annual Information Form filed under
its profile at www.sedar.com for further information respecting the
risks affecting Endeavour Mining and its business.
SOURCE Endeavour Mining Corporation