Bonterra Resources Inc. closes transaction with Metanor Resources in $78 million acquisition

October 29, 2018

On September 24, 2018, Bonterra Resources Inc. (“Bonterra”) (TSXV: BTR) (US: BONXF) announced the closing of its acquisition of Metanor Resources Inc. (“Metanor”) (TSXV: MTO) for $78 million in share consideration. The merger combined Bonterra and Metanor to create an advanced Canadian gold exploration and development company. The new company will lead to the building out and future mining development of the Urban Barry Quebec Gold Camp.

Bonterra acquired all issued and outstanding common shares of Metanor for C$0.73 in equity consideration, at an exchange ratio of 1.6039 Bonterra shares (the “Purchase Price”) for each Metanor share. The Purchase Price represented a 40% premium to the 30-day WVAP of Metanor’s common shares on the TSXV on June 15, 2018 and a premium of 30% to the closing price as of such date. Upon completion of the transaction, existing Bonterra and Metanor shareholders held approximately 58% and 42% of combined company, respectively.

Bonterra is a Canadian gold exploration company based in Vancouver, BC focused on continuing to expand its NI 43-101 compliant gold resource on its Gladiator Property, part of the Abitibi Greenstone Belt in Quebec.

Miller Thomson advised Bonterra in this transaction with a team that included Rory Godinho, Kevin J. Sorochan (Capital Markets & Securities), Anne-Frédérique Bourret, Claire Durocher (Environmental), and Claudia Desjardins Belisle (Labour & Employment).