Goldcorp Updates Shareholdings In Primero

(All Amounts in $US unless stated otherwise)

Toronto Stock Exchange: G New York Stock Exchange: GG

VANCOUVER, Aug. 7, 2012 /PRNewswire/ - GOLDCORP INC. ("GOLDCORP") (TSX: G, NYSE: GG) today announced that Primero Mining Corp. ("Primero") (TSX: P, NYSE: PPP) has provided notice to Goldcorp that it has elected to convert the principal amount outstanding of its $30 million convertible note held by Goldcorp into common shares of Primero.    As a result, on August 7, 2012, Goldcorp was issued a further 8,422,460 common shares of Primero, representing approximately 8.7% of the issued and outstanding common shares of Primero. Immediately following the issuance, Goldcorp owns an aggregate of 39,573,660 common shares of Primero, representing approximately 41% of the issued and outstanding common shares of Primero (increased from approximately 35%).  The 8,422,460 common shares of Primero were issued from treasury at a deemed price of $3.74 per share for an aggregate value of $30 million.                  

The $60 million 12-month convertible note was issued to Goldcorp on August 6, 2010 in partial consideration of Primero's acquisition of Goldcorp's San Dimas Mine in Mexico.  Under the terms of the note, Goldcorp had the option to extend the term by an additional year if Primero exercised its option to convert the principal outstanding amount of the note at the initial one year maturity date. On July 20, 2011, Primero served notice to convert the note into shares and, on August 4, 2011, Goldcorp elected to extend the term by an additional year. On October 19, 2011, Primero repaid $30 million of the note in cash.

Goldcorp does not have any present intention to acquire ownership of, or control over, additional securities of Primero. Goldcorp has the right to maintain its percentage interest in Primero as long as Goldcorp and its affiliates hold at least 10% of the issued and outstanding common shares of Primero. It is the intention of Goldcorp to evaluate its investment in Primero on a continuing basis and such holdings may be increased or decreased in the future. For the purposes of National Instrument 62-103, the address of Goldcorp Inc. is 666 Burrard Street, Suite 3400, Vancouver, British Columbia V6C 2X8.

Goldcorp is one of the world's fastest growing senior gold producers.  Its low-cost gold production is located in safe jurisdictions in the Americas and remains 100% unhedged.

1 2 3 Next › Last »