Kinross Gold sells stake in Pinecrest Resources for C$3.9 million
(Kitco News) - Kinross Gold Corp. (TSX: K; NYSE: KGC) sold its 10,925,000 shares in Pinecrest Resources Ltd. on Monday for C$0.36 per share, with gross proceeds expected to be approximately C$3.9 million, the company announced Tuesday.
The shares were disposed through private sales represented approximately 17% of the outstanding shares in Pinecrest, Kinross said.
“The disposition was made for investment purposes, and following the disposition, Kinross no longer holds any shares of Pinecrest,” Kinross added in a prepared statement.
Meanwhile, Pinecrest announced that the shares were purchased by Ruffer LLP along with other institutional investors based in London, Hong Kong, Canada and the U.S.
“We are very excited to have such a prominent group of institutional mining investors become shareholders of Pinecrest,” said Luke Alexander, president and chief executive officer. “Combined with the investors who participated alongside management and directors in the $3 million private placement announced on May 19th, we believe we will be extremely well supported to execute on our growth initiatives to create significant shareholder value. These investors share our vision that there is a significant amount of value to be unlocked at our Enchi gold project.”