EMX Royalty (EMX.V, EMX) has announced it’s paying C$350,000 in cash for the acquisition of three Net Smelter Royalties in Alaska from Corvus Gold. The transaction is pretty straightforward and in some cases Corvus even retains a part of the existing royalties which could perhaps be monetized later on.
Additionally, and this is perhaps a bit more surprising, EMX is also purchasing 500,000 shares of Corvus Gold at a fixed price of C$1.80 for a total investment of C$900,000, resulting in a total payment of approximately C$1.25M which should take the pressure off of Corvus Gold as the company is still recovering from what appears to be relentless selling in April and May. Selling the non-core royalties is a good move to raise money without having to issue too much stock at these levels.
Go to Corvus Gold’s website
The author has a long position in Corvus Gold. Please read the disclaimer
