08:48 AM EDT, 07/12/2024 (MT Newswires) -- Karora Resources ( KRRGF ) said Friday that independent proxy advisory firm Glass Lewis recommended that shareholders approve the company's planned merger with Westgold Resources.

This follows an earlier recommendation from Institutional Shareholder Services (ISS) that pushed for the deal to proceed.

Under the deal terms, Westgold will indirectly acquire Karora and Karora shareholders will receive $0.608 in cash and 2.524 fully paid ordinary shares of Westgold for each Karora share held.

Karora will assign its interests in the transferred assets to a company (SpinCo) that will be spun out to Karora shareholders for 0.3 of a SpinCo share for each Karora share held.

Karora's board and a special committee formed by the company unanimously determined that the planned merger is in the best interests of Karora and is fair to shareholders.

Karora shareholders will vote on the transaction during a July 19 meeting.

Karla's share price closed 0.91% higher yesterday to $6.63 on the TSX.