Newmarket Gold announced today that Mr. Eric Sprott would acquire additional 16.2 million common shares of Newmarket Gold from Luxor Capital, the biggest company's shareholder.
This time Mr. Sprott will pay C$2.80 per share. It means that this notable Canadian investor is going to pay 24.4% more than he paid in the previous transaction (also made with Luxor).
Additionally, Luxor has granted Mr. Sprott a right of first refusal to purchase up to 22 million shares of Newmarket (it expires on December 31, 2016).
On closing of this transaction, Mr. Sprott will be holding a 17.9% stake in the company. It means that he and Luxor will be the biggest shareholders of Newmarket Gold:
This purchase is another confirmation that Newmarket Gold is still a very attractive company; what is more, despite a recent huge increase in its share prices, it is still considered by Mr. Sprott as an undervalued miner.