Royal Gold Provides Update on Agreement to Acquire Royalties on the Serrote and Santa Rita Mines
September 29 2023 - 9:00AM
Business Wire
Royal Gold, Inc. (NASDAQ: RGLD) (together with its
subsidiaries, “Royal Gold” or the “Company,” “we” or “our”)
announced today that ACG Acquisition Company Ltd. (“ACG”) issued a
press release announcing that the transaction for the acquisition
by ACG of the entities that own the Serrote and Santa Rita mines in
Brazil from funds advised by Appian Capital Advisory LLP (“Appian”)
has been terminated. Completion of the now terminated transaction
between ACG and Appian was a condition to Royal Gold’s acquisition
of royalty interests on the Serrote and Santa Rita mines.
“This transaction was a good opportunity for Royal Gold, but
events beyond our control preclude us from completing the
acquisition of the royalties,” commented Bill Heissenbuttel,
President and CEO of Royal Gold. “While this is an unfortunate
outcome, we will continue to look for transactions that meet our
strategic criteria for investment.”
Corporate Profile
Royal Gold is a precious metals stream and royalty company
engaged in the acquisition and management of precious metal
streams, royalties and similar production-based interests. As of
June 30, 2023, the Company owned interests on 181 properties on
five continents, including interests on 40 producing mines and 20
development stage projects. Royal Gold is publicly traded on the
Nasdaq Global Select Market under the symbol “RGLD.” The Company’s
website is located at www.royalgold.com.
Forward-Looking Statements: This press release includes
“forward-looking statements” within the meaning of U.S. federal
securities laws. Forward-looking statements are any statements
other than statements of historical fact. Forward-looking
statements are not guarantees of future performance, and actual
results may differ materially from these statements.
Forward-looking statements are often identified by words like
“will,” “may,” “could,” “should,” “would,” “believe,” “estimate,”
“expect,” “anticipate,” “plan,” “forecast,” “potential,” “intend,”
“continue,” “project,” or negatives of these words or similar
expressions. Forward-looking statements include, among others,
statements about Royal Gold’s continued search for transactions
that meet strategic criteria for investment.
Forward-looking statements are based on current expectations,
estimates and assumptions that involve risks and uncertainties that
could cause actual results to differ materially from those
projected. The risks and uncertainties that could cause actual
results to differ materially from those in forward looking
statements include, without limitation, a lower-price environment
for gold, platinum, palladium, silver or copper; operating
activities or financial performance of the Serrote and Santa Rita
mines, including inaccuracies in ACG’s or the operator’s
disclosures, variations between actual and forecasted performance,
the operator’s ability to complete projects on schedule and as
planned, the operator’s changes to mine plans and reserves and
resources, the operator’s liquidity needs, mining hazards, labor
disputes, distribution and supply chain disruptions, permitting and
licensing issues, contractual issues involving our royalty
agreement, or operational disruptions due to public health crises;
environmental risks, including those caused by climate change;
potential cyber-attacks, including ransomware; adverse economic and
market conditions; risks of doing business in foreign
jurisdictions; changes in laws or regulations; the risk of
litigation related to the proposed acquisition of the Royalties;
the diversion of management time from ongoing business operations
due to transaction-related issues; the volatility in commodity
prices; competition, government regulation or other actions; and
other risks detailed in Royal Gold’s Annual Report on Form 10-K for
the year ended December 31, 2022, available on Royal Gold’s website
at royalgold.com and on the Securities and Exchange Commission
website at http://www.sec.gov. Other unpredictable or unknown
factors not discussed in this release could also have material
adverse effects on forward-looking statements.
Forward-looking statements speak only as of the date on which
they are made. We disclaim any obligation to update any
forward-looking statements, except as required by law. Readers are
cautioned not to put undue reliance on forward-looking
statements.
Statement Regarding Third-Party Information: Certain
disclosures herein relating to the Serrote and Santa Rita mines are
based on information publicly disclosed by ACG and Appian and
information available in the public domain as at the date hereof.
Royal Gold does not independently prepare or verify this
information and does not have access to the property or sufficient
data to do so and refers the reader to the disclosures of ACG and
Appian.
This announcement is not an offer for sale of securities in the
United States or in any other jurisdiction. No securities of ACG
have been or will be registered under the U.S. Securities Act of
1933, as amended (the “Securities Act”), or with any securities
regulatory authority of any state or other jurisdiction of the
United States, and may not be offered, sold, resold, pledged,
delivered, assigned or otherwise transferred, directly or
indirectly, within the United States except pursuant to an
effective registration statement under the Securities Act or
pursuant to an exemption from, or in a transaction not subject to,
the registration requirements of the Securities Act. There has not
been and will be no public offering of the securities of ACG in the
United States.
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version on businesswire.com: https://www.businesswire.com/news/home/20230929718878/en/
Alistair Baker Vice President Investor Relations and Business
Development (720) 554-6995
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