Goldcorp Agrees To Buy Canplats Res For $228M

Vancouver Canada mining company Goldcorp Inc. announced Monday that it had agreed to acquire counterpart Canplats Resources Corp. for about C$238 million ($228 million) in a stock-swap deal.
Deal terms call for Canplats shares to be exchanged for 0.074 of Goldcorp common shares, valued at C$3.42 each. Goldcorp is expected to issue about 4.3 million shares.
The deal, which includes a C$7.2 million termination fee, is expected to close by January. Goldcorp has the right to match any other offers. Both boards have approved the deal. Canplats' security holders still need to give their approval.
As part of the deal, Goldcorp will receive Canplats' Camino Rojo project in Mexico, which is based near its Penasquito mine. The Camino project has reported measured and indicated resources of about 3.5 million ounces of gold and nearly 60.7 million ounces of silver.
"The acquisition of the Camino Rojo project fits very well with one of our strategic goals of enhancing opportunities in and around our core assets," Goldcorp CEO Chuck Jeannes said in a statement.
The two companies have formed a new exploration company that will be 90%-owned by Canplats, which is also based in Vancouver. It will focus on early-stage exploration opportunities in the Durango and Chihuahua states of Mexico and will have about C$10 million in cash. The notional value on that project is C$0.18 per share and represents a combined value of C$3.60 per share for Canplats shareholders.
"We are extremely pleased to have reached an agreement with one of the world's largest and most respected gold producers," Canplats CEO Gordon Davis said in a statement, adding that the new Mexico project will give immediate value to its shareholders.
GMP Securities LP served as Goldcorp's financial adviser. Cassels Brock & Blackwell LLP and Neal, Gerber & Eisenberg LLP were its legal advisers.
Genuity Capital Markets and Salman Partners Inc. served as Canplats' financial advisers. Blake, Cassels & Graydon LLP and Skadden, Arps, Slate, Meagher & Flom LLP's Riccardo Leofanti and Richard Grossman were its legal counsel.