Triple Flag Precious Metals (TFPM) signed a definitive deal to acquire Orogen Royalties for about CA$421 million ($304.1 million), the companies said Tuesday.
Under the deal, Orogen shareholders may elect to receive CA$1.63 in cash or about 0.05 of a Triple Flag share for each Orogen share held, according to the statement. The companies said Orogen shareholders will also receive 0.25 of a share in a new company, which has an implied value of about CA$78 million.
The companies said their respective boards have approved and recommended that shareholders vote in favor of the transaction. A group of Orogen shareholders owning a total stake of about 39.5% signed voting support agreements in favor of the acquisition, according to the statement.
The transaction is expected to close in Q3.