On April 8, 2016, Avala Resources Ltd. (TSXV: AVZ) and Dundee Precious Metals Inc. (TSX: DPM) (“DPM”) announced the successful completion of the previously announced plan of arrangement under the Business Corporations Act (British Columbia) pursuant to which DPM, through a wholly-owned subsidiary, acquired all of the issued and outstanding common shares of Avala that it did not already own.
As DPM was the controlling shareholder of Avala, the board of directors of Avala earlier formed a special committee of independent directors which considered the fairness of the arrangement to shareholders of Avala, other than DPM. Primary Capital Inc. was retained by the special committee as financial advisor. The special committee recommended that the board of directors of Avala approve the arrangement, which approval was given.
Avala is a mineral exploration company focused on the exploration and development of gold and copper projects in Serbia. DPM is a Canadian based, international gold mining company with assets in Bulgaria, Armenia and Namibia and interests in a number of developing gold properties in Bulgaria, Serbia, and northern Canada.
Peter McArthur of Miller Thomson advised Primary Capital with respect to this transaction.