This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Coeur Mining, Inc. Creates Coeur Capital, Inc. And Announces Definitive Agreement To Acquire Global Royalty Corp.

Coeur Mining, Inc. (“Coeur” or the “Company”) (NYSE:CDE) (TSX:CDM) today announced the formation of a new wholly-owned subsidiary, Coeur Capital, Inc. (“Coeur Capital”), which will hold Coeur’s existing and any future-acquired royalty and streaming interests along with its portfolio of strategic equity investments. Increasing Coeur’s interests in royalties and streams through Coeur Capital is expected to provide the Company’s stockholders with higher-margin, less volatile free cash flow 1, diversified metal exposure, and future avenues for growth.

In addition, Coeur today announced that it has entered into an agreement for Coeur Capital to acquire Global Royalty Corp. (“Global Royalty”), a Vancouver-based privately-held company holding precious metals royalty interests in operating mines located in Mexico and Ecuador. Total consideration for the transaction, which is expected to close in December 2013, will be approximately $23.8 million, consisting of $0.3 million in cash and $23.6 million in Coeur common shares, which represents a 2.1% increase in Coeur’s current outstanding shares of 100.5 million. Upon closing of the transaction, Mark Kucher, President and CEO of Global Royalty, has agreed to join Coeur Capital as Managing Director and will have primary responsibility for its daily management and growth. Mr. Kucher, who is the largest shareholder of Global Royalty, has agreed to support the transaction with Coeur.

“We are pleased to announce our agreement to acquire Global Royalty,” said Mitchell J. Krebs, Coeur’s President and Chief Executive Officer. “Combining Global Royalty’s cash flowing royalties with those already owned by Coeur into a newly-formed entity is expected to enhance the quality and stability of our cash flows, offer superior leverage to metals prices, reduce our overall risk profile, and increase our margins and current net cash flow. Over time, we believe Coeur Capital can build sufficient critical mass to make a meaningful impact on our overall margins and cash flow and eventually be valued by the equity markets at the multiples currently enjoyed by streaming and royalty companies due to the attractive nature of this business model. While the acquisition of Global Royalty and the formation of Coeur Capital are expected to augment and balance our composite asset portfolio and complement our business development initiatives, our focus and priority will remain on our core business, which is exploring, developing, and operating precious metals assets.”

1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.01 -2.70%
FB $104.07 -5.81%
GOOG $684.00 -3.40%
TSLA $162.60 -7.26%
YHOO $27.97 -4.00%


Chart of I:DJI
DOW 16,204.97 -211.61 -1.29%
S&P 500 1,880.05 -35.40 -1.85%
NASDAQ 4,363.1440 -146.4150 -3.25%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs