Gold Royalty Corp. (GRC) and Ely Gold Royalties Inc. completed their previously announced business combination by way of a plan of arrangement under the Business Corporations Act.
“With four producing royalties, 57 royalties on development stage assets and 45 royalties on exploration stage assets, the acquisition of Ely Gold creates a leading Americas-focused precious metals royalty company,” GRC CEO, President and Chairman David Garofalo said. “The added scale, diversification, cash flow and access to capital provided by this transformative transaction well positions us to further execute on our strategy and become a leading consolidator in the royalty space.”
Trey Wasser, CEO, president and director of Ely Gold, joined GRC’s board of directors.
“Over the past several weeks, I have had the opportunity to work closely with the GRC team and remain impressed with the depth of their capabilities and their commitment to building a peer-leading precious metals royalty company,” Wasser said.
Under the transaction, GRC acquired all of the issued and outstanding Ely Gold common shares. As a result, Ely Gold has become an indirect wholly-owned subsidiary of GRC.
The consideration paid by GRC on closing of the transaction consisted of an aggregate of 30.9 million GRC shares and $84 million in cash.