07:51 AM EDT, 04/22/2024 (MT Newswires) -- Troilus Gold Corp. ( CHXMF ) reported Monday that Sayona Mining Ltd. has divested its entire equity position in Troilus.

Last week, a statement noted, Sayona sold approximately 19.2 million Troilus shares at C$0.63, which was executed through a block trade facilitated by a Tier-1 Canadian brokerage firm. The statement said these shares have been acquired by a group of new and existing core institutional shareholders. An additional 1.2 million shares were sold on the open market, it added.

Monday's statement noted that Sayona, who became a large shareholder in Troilus in late 2022 following the acquisition of some of the company's non-core claims, covering 985 square kilometres, sold its position in the company to strengthen its balance sheet. Troilus retained a 2% net smelter returns royalty on all mineral products from these properties.

Justin Reid, CEO of Troilus, said, "We respect their decision to optimize their balance sheet, and we are very pleased with the smooth transition of their stake to a consortium of large global institutional investors. This transition not only strengthens our shareholder base, but reaffirms a strong confidence in our strategic direction, the company's growth potential, and our ongoing commitment to generating value for all our shareholders."