On May 31, 2021, Goldshore Resources Inc. (formerly Sierra Madre Developments Inc.) completed its acquisition of the Moss Lake Project from Wesdome Gold Mines Ltd. for $57 million. Located in Ontario, Canada, the Moss Lake Project hosts a number of gold and base metal rich deposits.
In connection with the transaction, Goldshore and Sierra Madre closed a brokered private placement, pursuant to which Goldshore issued an aggregate of 23,076,924 subscription receipts at a price of $0.65 per subscription receipt and Sierra Madre issued an aggregate of 13,333,335 flow-through subscription receipts at a price of $0.75 per flow-through subscription receipt, for combined aggregate gross proceeds of approximately $25 million. The companies also completed a reverse take-over transaction pursuant to three-cornered amalgamation among Goldshore, a wholly-owned subsidiary of Goldshore and the private predecessor entity.
Cassels acted for Goldshore.