Franco-Nevada (TSX:FNV) has acquired a 12.42% stake in Kenorland Minerals (TSX-V:KLD), becoming the latest major investor to back the Canadian gold explorer.
Franco-Nevada acquired 10 million Kenorland shares from longtime investor John Tognetti and President and Kenorland CEO Zach Flood at C$2.22 ($2.23) per share, valuing the transaction at C$22.2 million.
The shares represent approximately 12.42% of Kenorland’s outstanding share capital.
“We are pleased to welcome Franco-Nevada, one of the most respected names in royalties and streaming, as a significant shareholder of Kenorland,” Flood says.
Major investors
Tognetti, the retired chairman of Haywood Securities who backed Kenorland through its transition into a publicly traded company, previously held approximately 13.8% of the explorer.
Following the transaction, his stake has fallen to approximately 3.93%.
Flood, meanwhile, continues to hold approximately 3.4 million Kenorland shares following the transaction.
Franco-Nevada joins Centerra Gold (TSX:CG) and Sumitomo Metal (TSE:5713) as significant investors in Kenorland and its portfolio of exploration projects across Canada.
Kenorland is a well-financed mineral exploration company focused on project generation and early-stage exploration across North America.
Write to Jackson Chen at Mining.com.au
Main Image: Kenorland Minerals
