Kinross Trims Stake in Asante Gold With $46m Share Sale
Kinross Gold has cut its holding in Asante Gold Corporation, selling nearly 30 million shares in a block trade that reduces its ownership in the Ghana-focused miner to just over 5 per cent.
The Canadian miner sold 29,850,984 Asante shares — representing 4.2 per cent of the company’s outstanding equity and 44.7 per cent of Kinross’s previous stake — at $1.55 per share, a 10 per cent discount to Asante’s closing price on September 5. The deal is valued at about $46m.
Prior to the sale, Kinross held about 9.4 per cent of Asante’s outstanding shares, or as much as 18 per cent on a partially diluted basis assuming the conversion of warrants and convertible debt. Following the disposal, it retains 36,927,650 shares, 5 million warrants, and a convertible debenture convertible at C$1.81 per share, leaving it with a 5.2 per cent non-diluted stake and 13.2 per cent on a partially diluted basis.
Dave Anthony, Asante’s chief executive, described the divestment as orderly and consistent with Kinross’s strategy following its 2022 sale of the Chirano mine in Ghana.
“Kinross has been and remains a very supportive partner to Asante and we’re pleased that Kinross has been able to monetize this component of the original share consideration at an increase to the original value,” he said.
The block of shares sold had originally been issued to Kinross as part of the consideration for Asante’s $225m acquisition of Chirano.
