Claim 50% Off TipRanks Premium
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
Golden Lake Exploration ( (TSE:GLM) ) has issued an announcement.
McEwen Inc. has agreed to acquire all outstanding shares of Golden Lake Exploration Inc. in an all-share transaction that will make Golden Lake a wholly owned subsidiary and fold its Jewel Ridge and Jewel Ridge West properties into McEwen’s Gold Bar Mine Complex in Nevada. Golden Lake shareholders will receive McEwen shares valuing their stock at C$0.12 per share, a 60% premium to the company’s 20-day VWAP, and will gain exposure to McEwen’s diversified portfolio, technical expertise, and dual U.S.-Canada listing, though they will collectively hold only about 0.5% of the combined company. For McEwen, the deal adds an adjacent property with promising historical drill results to support its strategy of transforming the Gold Bar Mine Complex into a longer-life, higher-production operation, subject to court approval and a two-thirds supermajority vote from Golden Lake’s securityholders.
The most recent analyst rating on (TSE:GLM) stock is a Hold with a C$0.07 price target. To see the full list of analyst forecasts on Golden Lake Exploration stock, see the TSE:GLM Stock Forecast page.
Spark’s Take on TSE:GLM Stock
According to Spark, TipRanks’ AI Analyst, TSE:GLM is a Neutral.
The score is held back mainly by weak financial performance (no revenue, ongoing losses, and cash burn), despite the mitigating strength of a debt-free balance sheet. Technicals are a key positive with price trading above major moving averages and supportive momentum indicators. Valuation remains constrained by negative earnings (negative P/E) and the absence of a dividend yield.
To see Spark’s full report on TSE:GLM stock, click here.
More about Golden Lake Exploration
Golden Lake Exploration Inc. is a Vancouver-based mineral exploration company focused on gold projects in Nevada. Its principal assets are the 100%-owned Jewel Ridge and Jewel Ridge West projects in the Eureka Mining District, located adjacent to McEwen Inc.’s Windfall and Lookout Mountain discoveries within the Gold Bar Mine Complex, positioning the company within a highly prospective U.S. gold mining jurisdiction.
Average Trading Volume: 165,693
Technical Sentiment Signal: Buy
Current Market Cap: C$7.49M
See more data about GLM stock on TipRanks’ Stock Analysis page.