Vancouver's Ascendant Copper Corp. (TSX:ACX) plans to buy Montreal's St. Genevieve Resources Ltd. (CNQ:SGVL) in an all-share deal estimated to be worth up to $6.3 million.
The deal will give Ascendant ownership of two near-term producing copper mines in Arizona and several other copper exploration properties in the U.S.
Ascendant will pay up to 30 million shares for all of St. Genevieve's shares, minus 7.5 Ascendant shares for each dollar drawn down under credit facilities extended to St. Genevieve by Ascendant by the closing date.
The deal, expected to close by the end of February, is subject to shareholder approval. Approximately 50% of Ascendant's shareholders have already tendered their shares to the deal.
Ascendant's share price range during the past week: between $0.205 and $0.27; 52-week high: $0.84; 52-week low: $0.145.