11:14 AM EDT, 06/21/2024 (MT Newswires) -- B2Gold ( BTG ) on Friday said it cut its stake in Calibre Mining ( CXBMF ) to 4% from 14% through an arm's length sale of 79-million shares to new long-term shareholders at $1.76 per share to raise $139.04 million.

B2Gold ( BTG ) will retain roughly 32-million shares of Calibre, a gold producer with mines in Nicaragua and the United States and a mine under development in Newfoundland.

"On behalf of the entire team at Calibre, I would like to extend our sincere gratitude to Clive Johnson, President and CEO of B2Gold ( BTG ), and his team for entrusting us with their Nicaraguan assets which became the founding assets of Calibre," said Calibre chair Blayne Johnson in a release. "Their decision to transfer these assets to an emerging exploration company rather than opting for immediate complete monetization, required both vision and courage."

Randall Chatwin, B2Gold's ( BTG ) representative on the Calibre board, resigned.

Meanwhile, B2Gold ( BTG ) maintained its outperform rating and $3.62 price target from National Bank of Canada following the news.

Calibre also retained its sector perform rating and $1.86 price target from National Bank.

The bank said the transaction was a "win-win" for both companies as B2Gold ( BTG ) monetized its investment while Calibre removed any overhang linked to B2Gold ( BTG ).

B2Gold ( BTG ) shares were last seen down $0.07 to $3.55 on the Toronto Stock Exchange, while Calibre was down $0.08 to $1.78

Price: 1.78, Change: -0.08, Percent Change: -4.30