1 Sept 2006business combination● NeutralMajor
Yamana filed the proxy circular (dated December 31, 2005) for its deal to buy RNC Gold Inc. by amalgamating it with a Yamana subsidiary, 6482015 Canada Inc. RNC shareholders get 0.12 of a Yamana share per RNC share, which would leave them with about 2.9% of roughly 197.1 million Yamana shares. The circular also says Yamana has an $18.9 million senior secured loan to RNC's subsidiary San Andrés (Belize) Limited, which becomes due, with an option for Yamana to acquire 100% of San Andrés Belize, if the deal is terminated or does not close by March 7, 2006. This filing is the circular for a deal already agreed on December 4, 2005, and it does not itself say whether the deal closed.