U.S. Gold Corp buys Northern Panther Resource in an all-stock deal

US Gold Corp., the gold exploration and development company, has reportedly acquired Northern Panther Resource Corporation in an all-stock transaction. Nevada-based Northern Panther has merged into a new subsidiary of the US Gold Corp. 

Northern Panther's biggest asset is the Challis Gold Exploration Project. The company also has USD 2.5 million in cash.  With the completion of the merger, a variety of Northern Panther shareholders have led concurrent funding under which the Company received subscriptions shares of its favorite stock and permits up to USD 5.5 million, taking a total of up to USD 8 million in extra capital to the Company.

As per the terms and conditions of the agreement, U.S. Gold Corp. issued 581,053 limited common stocks to Northern Panther’s shareholders. Additionally, the company has also issued 106,894 shares of the newly formed Series H perpetual preferred stock.

After shareholders vote, expected to be on the Proxy Statement at the company’s upcoming annual general meeting, each share of the preferred stock of the Series H is expected to turn into ten common U.S. Gold Corp. 

Speaking on the acquisition, Edward Karr, CEO and President of U.S. Gold Corp said that Northern Panther Resource is another strategic acquisition for the company. In addition to buying this new high potential project, the company is pleased to welcome Mr. Robert Schafer, Mr. George Bee, and others as new shareholders of U.S. Gold.

The Challis Gold Project is situated 75 kilometers southwest of Salmon, Idaho, in the tertiary volcanic Challis field. The property has a proven 43-101 reserve of approximately 313,825 ounces of gold for 1,22 grams/ton of gold, with a possible low strip ratio and upside potential discovery. US Gold Corp will plan and disclose potential exploration programs to progress the project.

Source Credit - https://www.usgoldcorp.gold/news-media/press-releases/detail/92/u-s-gold-corp-acquires-northern-panther-resource