West Red Lake Gold Mines, RLG close business combination

West Red Lake Gold Mines Ltd. (West Red Lake) has concluded the merger of its business with West Red Lake Gold Mines Inc. (RLG).

As part of the Transaction, West Red Lake purchased all of the issued and outstanding common shares of RLG.

The shareholders of RLG will receive 0.1215 of a West Red Lake common share for each share held. This involves the issuance of an aggregate of 35,451,916 West Red Lake common shares to the RLG shareholders.

West Red Lake said in a statement: “Holders of convertible securities of RLG will receive convertible securities of West Red Lake as adjusted by the Exchange Ratio, resulting in the issuance of replacement options to acquire 978,075 West Red Lake common shares and replacement warrants to acquire 538,603 West Red Lake common shares.”

Furthermore, as part of the agreement, 1,700,000 West Red Lake common shares were issued as finders shares to certain persons.

With the completion of the transaction, West Red Lake will continue RLG’s business. It includes exploration and development of the West Red Lake Project located in the Red Lake Gold District of Northwestern Ontario, Canada.

In a press statement, West Red Lake said: “In connection with the Transaction, West Red Lake has changed its name from “DLV Resources Ltd.” to “West Red Lake Gold Mines Ltd.”. 

“It is anticipated that West Red Lake will graduate to Tier 2 of the TSX Venture Exchange as a Mining Issuer, and trading in its common shares will resume under the symbol “WRLG” effective Thursday, January 5th, 2023.”

RLG’s common shares will also be de-listed from the Canadian Securities Exchange on 5 January 2023.