Leagold Mining Corporation (TSXV:LMC.H) entered into a share purchase agreement to acquire Desarrollos Mineros San Luis S.A. de C.V. from Goldcorp Inc. (TSX:G) for $350 million on January 11, 2017. The transaction includes acquisition of Los Filos Mine in Mexico. Under the terms of the transaction, Leagold agreed to acquire Los Filos for $279 million in cash and $71 million through the issuance of common stock. Under the revised deal structure, Leagold will acquire Los Filos for $250 million in cash, $29 million short term promissory note and an aggregate of 34,635,091 common shares of Leagold. Goldcorp also retained certain tax receivables worth approximately $100 million. Leagold Mining will also transfer certain tax receivables of approximately $88 million as and when these amounts are received from the Mexican tax authorities. As of March 8, 2017, Leagold Mining Corporation completed its previously announced offering of 63.6 million subscription receipts at an issue price of CAD 2.8 per subscription receipt for aggregate gross proceeds of approximately CAD 180 million. The net proceeds of the subscription receipt offering will be used to fund a portion of the purchase price to acquire the Los Filos gold mine from Goldcorp Inc. Each subscription receipt will entitle the holder thereof to receive one common share, without payment of additional consideration or further action, upon closing of the Los Filos acquisition. The subscription receipt offering is being led by BMO Capital Markets and UBS Securities Canada Inc. and includes Scotia Capital Inc., Canaccord Genuity Corp., GMP Securities L.P. and TD Securities Inc. Leagold will undertake debt and equity financings to fund the acquisition and related working capital. The transaction is expected to be funded through the net proceeds from the offering and the net proceeds from up to $200 million of term loan credit facilities. After the completion of the transaction, Goldcorp will hold 30% stake in Leagold Mining and will have the right to nominate a Director to Leagold’s Board of Directors. The transaction is subject to the completion of acquisition financing, receipt of Mexican anti-trust approvals, and the approval of the TSX-V. Leagold is not required to receive approval from its shareholders. The transaction is subject to customary closing conditions and is expected to close in the first quarter of 2017. The transaction has been approved by Mexican Anti-Trust Commission. Scotia Capital acted as financial advisor to Goldcorp. UBS Investment Bank acted as financial advisor for Leagold. UBS Investment Bank arranged the debt financing and BMO Capital Markets arranged the equity financing for the transaction and advised on capital structure. Fasken Martineau DuMoulin LLP acted as legal advisor for Leagold. McCarthy Tétrault LLP acted as legal advisor for Goldcorp Inc.