Hecla Mining Co acquires Klondex Mines Ltd for US$456M

CANADA - Hecla Mining Co of the US agreed to the entire share capital of Klondex Mines Ltd, a Vancouver-based gold ore mine operator, for CAD 3.234 (USD 2.47) in cash or common shares or a total value of 580.959 mil (USD 443.649 mil).

The purposes of the transaction were for Choice Properties Real Estate Investment Trust and Canadian Real Estate Investment Trust to increase their respective shareholder values, strengthen their existing operations, and expand their presence in the Canadian real estate markets.

Date Announced: 03/19/2018
Deal Status (as of publication date): Pending
Deal Value (US mil): $444

ACQUIRER ADVISORS*
CIBC World Markets Inc. (Financial Advisor)
JP Morgan (Financial Advisor)
Cassels Brock & Blackwell LLP (Legal Advisor)
K&L Gates (Legal Advisor, Foreign)

TARGET ADVISORS*
GMP Securities Ltd (Financial Advisor)
INFOR Financial (Financial Advisor)
Maxit Capital LP (Financial Advisor)
Dorsey & Whitney LLP (Legal Advisor, Foreign)

Hecla Mining Co, located in Coeur d'Alene, Idaho, is precious metals mining company. Its production profile includes silver, gold, lead, and zinc and dor containing gold and silver. Its operating properties are the Greens Creek operating unit on Admiralty Island in Alaska, the Lucky Friday operating unit in Idaho, and the Casa Berardi operating unit in Quebec, Canada. The Company was founded in 1891.

Klondex Mines Ltd, based in Vancouver, British Columbia, is a gold and silver mining company. It has exploration interests in northern Nevada. Its major holdings include the Fire Creek, Maggie Creek and Hot Springs Point properties as well as 8 Reef claims. The Company was founded in 1971.*List of advisors are those known at press time.