Osler advising Neptune’s asset sale to Quebec-based firm also in deals roundup
Fasken Martineau Dumoulin advised IAMGOLD Corporation in the sale of a 95-percent share in Rosebel Gold Mines to a Chinese mining group in a deal valued at $495 million (US$360 million). Also in this week’s deals roundup is Osler, Hoskin & Harcourt serving as counsel to Neptune Wellness Solutions in its asset sale to a Quebec-based purified cannabinoids producer.
IAMGOLD to sell 95-percent share in Rosebel Gold Mines to Zijin Mining for $495 million
IAMGOLD Corporation, an Ontario-based gold mining company operating in North America, South America and West Africa, signed an agreement to sell its 95-percent interest in Rosebel Gold Mines to Zijin Mining Group in a deal valued at $495 million (US$360 million).
Fasken Martineau Dumoulin is serving as legal counsel to IAMGOLD, while National Bank Financial and RBC Capital Markets are acting as financial advisors.
Upon deal completion, the Republic of Suriname will continue to hold the remaining five-percent interest in Rosebel Gold Mine.
“Rosebel has been an important contributor to IAMGOLD and we are pleased that a company with the capabilities and reputation of Zijin, a leading global mining company, will be taking over this operation for the benefit of all stakeholders,” said IAMGOLD Chair of the Board and Interim President and CEO, Maryse Bélanger. “The proceeds of the sale will be invested in the ongoing construction of our flagship Côté Gold project -- a strong positive step towards addressing our funding commitments to deliver the Côté Gold project on the updated schedule for production in early 2024."
The deal is expected to close in the first quarter of 2023, subject to customary closing conditions.
Neptune to sell cannabis assets to PurCann Pharma for $5.15 million
Quebec-based companies Neptune Wellness Solutions Inc. and PurCann Pharma Inc., a producer of purified cannabinoids, entered an agreement in which Neptune will sell its cannabis assets to PurCann Pharma in a $5.15 million all-cash deal.
The deal includes Neptune's cannabis plant in Sherbrooke, Québec, the Mood Ring and PanHash brands, and related assets.
Osler, Hoskin & Harcourt is serving as legal counsel and Stifel GMP as financial advisor to Neptune in connection with the transaction.
“The complete divestiture of our cannabis business is a critical milestone in executing upon our strategy to become a leading CPG company,” said Neptune CFO Ray Silcock. “We are nearing an inflection point with our flagship brand Sprout Organics and expect it to serve as the key growth driver for Neptune going forward. In addition, the divestment of the cannabis assets will allow us to realize significant cost savings and operational streamlining from redirected resources towards our simplified corporate structure."
The deal is expected to close on or before November 15, 2022, subject to standard closing requirements.
Playmaker acquires Wedge for $43 million
Playmaker Capital Inc., a Toronto-based digital sports media company, has acquired Wedge Traffic Limited, a Scottish affiliate marketing firm operating eight web properties with a core focus on the US market, in a deal valued at approximately $43 million (US$31.2 million).
Wedge properties are specifically curated to deliver audiences to 15 online sportsbooks and casinos that the company currently has affiliate marketing relationship with. Wedge is currently active in 16 states and in the province of Ontario.
“We have been very clear that creating a centre of excellence in affiliate was key to rounding out our offering as a leading sports media business,” said Playmaker CEO Jordan Gnat. “We look to super-serve all of our partners, and Wedge allows us to better serve critical customer segments, sports betting and iGaming operators. The team at Wedge is superb and we could not be happier having them join our family.”
“Outside of the fact that Playmaker’s diverse portfolio of brands will directly complement our business, there were two key reasons for making the decision to join the Playmaker family,” said Wedge CEO Dan Kersh. “Firstly, they understand how to support and accelerate data driven marketing within the iGaming sector. Secondly, and perhaps of even greater importance, they appreciate the value of creating a winning culture and how it must be considered the heartbeat of any successful business.”
