Gold and silver producer McEwen and Canadian Gold Corp. have entered into a definitive agreement, under which McEwen will acquire all of the issued and outstanding common shares of the Canadian-based exploration company through a statutory plan of arrangement.
If the proposed transaction is approved, Canadian Gold will become a wholly-owned subsidiary of McEwen, strengthening the miner’s diversified portfolio with the Tartan Lake asset in Manitoba. Tartan Lake is a high-grade gold project and former producing mine with existing infrastructure and significant exploration potential.
Under the terms of the agreement, Canadian Gold shareholders will receive 0.0225 McEwen shares for each Canadian Gold share held. The exchange ratio represents a current offer price of C$0.60 per Canadian Gold share, representing a 96.7% premium over the pre-announcement trading price.
Upon completion of the transaction, existing McEwen and Canadian Gold shareholders will own approximately 92% and 8%, respectively, of McEwen, on both an outstanding shares and fully-diluted basis.
The transaction is expected to close in early January 2026.
Source: McEwen