CHAMWE KAIRA
Osino Resources Corp has provided an update on the expected conclusion of the regulatory process for the previously announced Yintai transaction in Namibia.
Osino and the Namibian Competition Commission continue to engage in the ordinary course of the NCC’s merger review process as the NCC considers the application of the previously announced
statutory plan of arrangement under which Yintai Gold will acquire all of the outstanding common shares of Osino for cash consideration of C$1.90 for each Osino Share, the company said.
After receiving the third of three Chinese regulatory approvals on May 28, competition law clearance from the NCC remains the only outstanding approval to conclude the arrangement.
In connection with that review, the NCC has recently sent additional clarifying questions to the company and Yintai, which additional questions are part of the NCC’s ongoing analysis of the arrangement.
Pending conclusion of the NCC’s review, the NCC will make its recommendation to the NCC board for a final decision on the transaction.
It is expected that the transaction will be considered for determination at the next sitting of the NCC board, which is anticipated to occur in late July or early August. The NCC’s final decision with respect to the arrangement is expected by early August or early September, 2024.
Heye Daun, President and CEO of Osino commented: “The arrangement remains on track and all closing conditions, other than the NCC approval, have been met. The NCC’s merger review process continues to advance in the ordinary course and, although the NCC unfortunately did not complete its review in time for the June Board meeting, we still expect approval to be received within the timeframe prescribed by the Namibian Competition Act. Local counsel has advised that the NCC usually takes four to six months from date of submission which was 3 April, 2024.”
The arrangement agreement dated 23 February between Osino and Yintai had specifically contemplated the possibility that the NCC approval would not be obtained by 30 June and provided for an ability for either party to extend the outside date in 30-day increments by up to 90 days. The outside date has been extended by mutual agreement of the parties from 30 June to 30 July as a result of the NCC’s timing update.
Osino is a Canadian gold exploration and development company focused on the fast-tracked development of its wholly owned, Twin Hills Gold Project in central Namibia. The mine is expected to be open-pit gold operation with a 13-year mine life and average annual gold production of over 162,000oz per annum. The mine is located within Namibia’s prospective Damara sedimentary mineral belt, mostly in proximity to and along strike of the producing Navachab and Otjikoto Gold Mines.
