11:47 AM EDT, 10/15/2024 (MT Newswires) -- Dore Copper Mining ( DRCMF ) on Tuesday agreed to be acquired by ASX-listed Cygnus Metals for shares worth $24 million.

Each Dore shareholder will receive 1.83 Cygnus shares for each share held, an implied value of C$0.141 per share. Dore Copper shareholders will own 45% of the combined company.

The transaction will create a Quebec-focused critical minerals explorer and developer with high-grade copper and lithium resources.

"This merger will provide the funding, additional expertise and the strategy to generate superior shareholder returns through brownfields exploration and to implement a profitable hub-and-spoke operation in the Chibougamau mining camp," Dore chief executive Ernest Mast said in a release.

Cygnus also intends to complete an A$11 million equity raise. The proceeds are expected to advance the Chibougamau project and Cygnus' James Bay lithium projects.

Dore Coppers shares were last seen down $0.04 to $0.145 on the TSX Venture Exchange.

Price: 0.15, Change: -0.04, Percent Change: -21.62