Ascot Resources Ltd. announced it intends to acquire all the outstanding shares of IDM Mining Ltd. The transaction will consolidate Ascot’s Premier Gold project and IDM’s Red Mountain project to create the leading high-grade gold development and exploration company in northwestern British Columbia’s Golden Triangle near the historic mining town of Stewart. This area has hosted several prominent, profitable, and high-grade gold mines.
Each IDM shareholder will be entitled to receive 0.0675 of a common share of Ascot for each share of IDM held. The consideration values IDM at C$0.086 per share, representing a premium of 54% to IDM shareholders. Upon completion of the transaction, IDM shareholders will hold 16.7% of Ascot shares on an outstanding basis.