Visby Management Challenges Tiger Gold with Competing Offers for Los Cerros Colombian Assets
TL;DR
Visby Management offers LCL $6,000,000 AUD in all-cash with faster payment terms than Tiger Gold Corporation.
Visby proposes 2 offers to acquire LCL's assets in Colombia with clear payment terms and conditions for shareholders.
Visby's offers provide LCL with crucial investment capital and future project participation, benefiting both companies and stakeholders.
Visby's competitive bids challenge Tiger Gold Corporation's offer, intensifying the decision for LCL shareholders in a time-sensitive situation.
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Mining investment firm Visby Management has submitted two competitive offers to acquire Los Cerros Limited's Andes and Quinchia assets in Colombia, challenging the current agreement with Tiger Gold Corporation.
The first offer, valued at 6 million Australian dollars, presents an all-cash transaction to be paid within 12 months. The second offer includes an immediate 2 million AUD payment, with additional compensation tied to Visby's potential public listing on a Canadian stock exchange by the end of 2025.
Both proposals provide Los Cerros with strategic financial alternatives. Under the first offer, Los Cerros would retain a 1% net smelter royalty on the projects and preserve future upside potential. The second offer includes complex provisions allowing Los Cerros to receive additional cash and equity if Visby successfully goes public.
Visby Management is positioning itself as a well-financed and experienced operator with a proven track record in challenging mining jurisdictions. The company has secured full financing for both transaction options and is actively encouraging Los Cerros shareholders to reject the existing Tiger Gold proposal at the upcoming February 17, 2025 shareholder vote.
The competing offers highlight the strategic value of Los Cerros' Colombian mining assets and demonstrate the ongoing investment interest in the region's resource potential. By presenting multiple transaction structures, Visby Management aims to provide shareholders with enhanced financial flexibility and potentially more attractive investment outcomes.
Curated from News Direct
