Business
Triple Flag Precious Metals and Maverix Metals to Combine: Building the Next Senior Precious Metals Streaming and Royalty Company
TORONTO & VANCOUVER, British Columbia / Nov 10, 2022 / Business Wire / Triple Flag Precious Metals Corp. (TSX: TFPM and NYSE: TFPM) (“Triple Flag”) and Maverix
About this update from Triple Flag Precious Metals Corp.
[{"type":"text","content":"TORONTO & VANCOUVER, British Columbia / Nov 10, 2022 / Business Wire / Triple Flag Precious Metals Corp. (TSX: TFPM and NYSE: TFPM) (“Triple Flag”) and Maverix Metals Inc. (TSX: MMX and NYSE American: MMX) (“Maverix”) today announced that they have entered into a definitive agreement (the “Agreement”) in which Triple Flag will acquire all of the issued and outstanding common shares of Maverix pursuant to a Plan of Arrangement (the “Transaction”), positioning Triple Flag as the leading emerging senior streaming and royalty company. The Transaction will combine two complementary portfolios of predominantly gold and silver streams and royalties, creating a company that will: Deliver increased scale and enhanced diversification, with 29 paying assets and 228 assets overall; Feature gold and silver assets in good mining jurisdictions: by net asset value (“NAV”), 93% of the portfolio comprises precious metals and 82% is located in the Americas and Australia; Strengthen Triple Flag’s already-robust organic growth pipeline in gold equivalent ounces (“GEOs”); and Target tangible pre-tax synergies of around $7 million annually. This combination – which is expected to be accretive on a NAV-per-share and cash-flow-per-share basis – represents a continuation of each company’s focus on building a pure play portfolio of high-quality, precious metals streaming and royalty assets, located in good mining jurisdictions and in the hands of responsible operators. We believe that the combined company will benefit from the strong cash flows of the resulting high-margin, high-growth, inflation-resilient, and diversified portfolio. We anticipate that the combination with Maverix will also diversify Triple Flag’s portfolio and shareholder base while providing a significant and immediate increase in GEOs, building on Triple Flag’s 26% CAGR in GEOs since 2017 and providing further opportunities to grow. Pursuant to the Transaction, Maverix shareholders may elect to receive either US$3.92 in cash or 0.360 of a Triple Flag share per Maverix share held, representing share consideration of US$3.92 per Maverix share based on the closing price of Triple Flag shares on November 9, 2022 of US$10.89 (the “Purchase Price”). The shareholder election will be subject to pro-ration such that the cash consideration will not exceed 15% of the total consideration and t...