Author: Paul Ploumis
30 Mar 2015 Last updated at 05:00:35 GMT
(Kitco News) - Hecla Mining Co. (NYSE:HL) made a move to acquire Revett Mining Co. Inc. (TSX:RVM)(NYSE MKT:RVM) for $20 million in stocks.
“In the proposed merger, each outstanding common share of Revett will be exchanged for 0.1622 of a common share of Hecla,” Hecla says.
“Based on Hecla’s closing price of $3.23 on March 25, 2015 (the day prior to signing of the agreement), this represents a 32% premium to Revett’s 20-day VWAP (volume weighted average price) through March 25, 2015.”
Revett’s flagship asset is the Rock Creek project, located in Montana, which has an inferred resource of 229 million ounces of silver and 2 billion pounds of copper.
“We are acquiring Revett with an eye to the future, as Rock Creek is a world-class silver-copper deposit that we see becoming another Greens Creek,” says Phillips S. Baker, Jr., Hecla’s president and chief executive officer.
“Our experience of Greens Creek operating in a National Monument in Alaska since 1997 will be invaluable as we take a patient and persistent approach to permitting and then responsibly operating the Rock Creek Mine.”
Courtesy: Kitco News