The company received total consideration of $34.2m, after adjustments, consisting of $12.5m in cash, $17.9m in common shares of Galane Gold and a $3.8m promissory note, payable over three years at an annual interest rate of 6%.
For the equity portion of the consideration, the company received an aggregate of 21,875,000 common shares of Galane representing about 48.5% of the outstanding shares of Galane.
In addition, IAMGOLD received 1,265,253 warrants in Galane exercisable at C$1.1 ($1.12) per share for an 18 month period that, if exercised, could increase the company’s beneficial interest in Galane to 49.9% of the outstanding shares.
