Contango Completes Dolly Varden Merger, Issues 13.7M Shares, $100M Cash
Contango Silver & Gold completed its merger with Dolly Varden, issuing 13,686,278 new Contango shares and 1,597,301 exchangeable shares while exchanging each Dolly Varden share for 0.1652 Contango or exchangeable shares. The combined entity holds over US$100 million in cash, minimal debt, and 30.5 million Contango shares outstanding.
1. Merger Completion and Share Exchange
Contango Silver & Gold acquired all issued and outstanding Dolly Varden common shares under a plan of arrangement, exchanging each share for 0.1652 Contango shares or exchangeable shares. At closing, Contango issued 13,686,278 new shares and replacement options for 417,048 shares, while Acquireco issued 1,597,301 exchangeable shares.
2. Combined Entity Financial Position
The merged company commands over US$100 million in combined cash with minimal debt, underpinning a strong balance sheet and providing ample capital for ongoing operations and exploration programs.
3. Asset Portfolio and Growth Strategy
The transaction unites Contango’s cash-flowing Manh Choh Gold Mine and advanced Lucky Shot and Johnson Tract projects in Alaska with Dolly Varden’s high-grade Kitsault Valley silver-gold project in British Columbia, creating a diversified mid-tier precious metals producer with significant exploration upside.
4. Share Delisting and Listing Plans
Dolly Varden common shares will be delisted from the TSX Venture Exchange on March 27, 2026, and from the NYSE American on April 6, 2026. Contango has applied to list its shares on the Toronto Stock Exchange, subject to final approval and listing requirements.