Altus acquisiton of Legend projects moves a step closer

Africa-focussed exploration project generator Altus Strategies announced on Friday that Legend Gold had received the requisite shareholder approval in connection with the proposed plan of arrangement as agreed between Altus and Legend and announced on 21 November last year.

The AIM-traded firm said that at the special meeting of Legend held on 18 January, Legend received 100% approval of the shareholders who voted on the resolution to approve the arrangement.

Legend intended to seek the approval of the Supreme Court of British Columbia to the arrangement and the Final Order on 23 January 2018, and subject to court approval, the parties intended to proceed to closing the arrangement on or around 25 January.

The arrangement agreement set out the terms and conditions pursuant to which Altus would acquire through an all-stock transaction the entire issued and outstanding common shares of LGN Holdings, being the owner of the Legend Projects, by way of the arrangement.

“The approval of Legend's shareholders for the proposed plan of arrangement is a transformational and accretive milestone for both Legend and Altus,” said Altus chief executive Steven Poulton.

“The enlarged project generator company will offer shareholders direct exposure to a robust and well managed portfolio of nineteen projects at different stages of advancement, diversified by six commodities, across five countries and with two active joint venture partnerships.”

Poulton said Altus believed the project generator model represented an “optimal strategy” for investors to participate in the “potentially significant” returns that could be made from making economic mineral discoveries, while mitigating a number of the potential financial, technical, managerial or geopolitical risks that could impact explorers that are heavily focused on just one or two assets.

“The application and other preparations required for a dual listing of our shares on the TSX-V is now underway and we will provide an update on this process in due course.

“In the meantime we look forward to the successful closing of the transaction and to welcoming Legend's shareholders and team to Altus.”

Michael Winn, chief executive and chairman of Legend, said his company was “delighted” to announce the receipt of shareholder approval for the proposed plan of arrangement for a business combination with Altus.

“Altus is now making the necessary preparations to achieve a dual listing of its shares on the TSX-V.

“Closing of the arrangement, which remains subject to court approval, is expected to occur on or about 25 January 2018,” Winn added.

“On behalf of the board I would like to thank our shareholders for their overwhelming support and look forward to providing an update on the closing of the arrangement shortly.”