Cunningham Mining Boosts Investment Commitment from GEM Digital to $336 Million USD
TL;DR
Cunningham Mining Ltd secures $336 million USD investment from GEM Digital, boosting acquisition power and market confidence.
Under the agreement, GEM Digital will provide Cunningham Mining with a Token Subscription Facility of up to $336 million for a 36-month term after a Centralized Exchange listing of the Cunningham Mining Token.
The acquisition of American Creek Resources by Cunningham Mining Ltd will allow for further expansion in the gold exploration sector, which could lead to positive results for all stakeholders.
Cunningham Mining plans to use the increased facility for further acquisitions of gold properties in the coming future, leveraging the expertise and resources of both companies.
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Cunningham Mining Ltd has announced a significant increase in its investment commitment from GEM Digital Limited, raising the amount from $153 million USD to $336 million USD. This enhanced funding will facilitate the acquisition of American Creek Resources Ltd (TSXV: AMK) and support further acquisitions of gold properties in the future.
Under the terms of the agreement, GEM Digital will provide a Token Subscription Facility of up to $336 million for a 36-month term, contingent upon a Centralized Exchange listing of the Cunningham Mining Token. Cunningham Mining will have control over the timing and maximum amount of drawdowns, with no minimum drawdown obligation.
Ryan Cunningham, CEO of Cunningham Mining Ltd, expressed enthusiasm about the strengthened partnership with GEM Digital, stating that the substantial token subscription facility will enable the company to acquire American Creek Resources Ltd and further expand its presence in the gold exploration sector. The acquisition will bring American Creek Resources' full twenty percent carried interest of the Treaty Creek Gold deposit, which contains over 6 million ounces of in-ground gold resource, onto Cunningham Mining's balance sheet via the pending RWA-based NGTGOLD Token.
This acquisition aligns with Cunningham Mining's strategic growth plans to capitalize on promising opportunities in the gold market. Ryan Cunningham added that the financing deal with GEM Digital is expected to drive long-term value for shareholders and leverage the expertise and resources of both companies to maximize the acquisition's potential.
The deal's closure is subject to customary closing conditions and regulatory approvals, with further details about the American Creek Resources acquisition to be announced in due course. Cunningham Mining also plans to formally announce the exchange listing of its NGTGOLD Token in the coming days.
Curated from NewMediaWire
