December 23, 2015, ProactiveInvestors Australia
City broker Cantor has repeated a ‘buy’ rating on gold and copper wwwucer Rambler (LON:RMM) following news that Thundermin Resources shareholders have approved the merger between the two.
First agreed in September, Thundermin (CVE:THR) shareholders will own 4.7% of the enlarged company and means Rambler gains full control of the Little Deer and Whales Back copper prospects.
The two sites, in north-central Newfoundland and Labrador, are currently jointly owned on a 50/50% basis by Thundermin and Rambler.
The merger is being completed via an amalgamation with a subsidiary of Rambler, which is expected to close on or before December 31.
On completion, Rambler will issue around 7.1mln shares to Thundermin shareholders and Thundermin will become the wholly owned subsidiary of Rambler.
Asa Bridle, analyst at Cantor, noted that Rambler has a "stated aim" of becoming the leading mine operator on the Atlantic seaboard of Canada, and this deal, "fits with that strategy".
"With less than a 5% increase in its share capital as a result (
Rambler shares are currently unchanged in London at 3p each.