Centerra Gold to Issue 440,000 Shares at $0.32 to Maintain 9.99% Stake
Centerra Gold will subscribe for 440,000 Dryden Gold shares at $0.32 apiece, injecting $140,800 to preserve its 9.99% ownership under the December 2024 investor rights agreement. The issuance, linked to warrant, option exercises, and the Tremblay property payment, remains subject to TSXV approval and a four-month hold period.
1. Details of Top-Up Right
Under the investor rights agreement dated December 17, 2024, Centerra Gold has notified Dryden Gold of its intent to exercise its top-up right. This allows Centerra to purchase 440,000 common shares at $0.32 each to restore its 9.99% equity position following various warrant and option exercises and a property option payment.
2. Transaction Mechanics and Impact
Subject to TSXV approval, the subscription will raise $140,800 for Dryden Gold, with the new shares subject to a four-month and one-day hold period. Proceeds will support general corporate activities while Centerra maintains strategic exposure to Dryden’s exploration assets.