IAMGOLD Boosts Stake in Merrex

The equity portfolio of IAMGOLD has fattened a bit. The company announced that it has acquired nearly 6.67 million common shares of fellow Canadian precious metals concern Merrex. The shares were provided by the latter company "in partial satisfaction or repayment" of a debt owed by it to an IAMGOLD subsidiary.

Following the deal, IAMGOLD now holds just over 24.28 million shares in its counterpart, giving it around 20% of the outstanding amount. IAMGOLD says it's adding to its stake for investment purposes, although it stressed that it "does not have any present intention to acquire ownership of, or control over, additional securities of Merrex."

Merrex is traded on the Toronto Stock Exchange under the ticker symbol MXI. It has nearly 118.90 million shares outstanding, and its stock most recently closed at C$0.06 ($0.06) per share.

The article IAMGOLD Boosts Stake in Merrex originally appeared on Fool.com.

Fool contributor Eric Volkman has no position in IAMGOLD. Nor does The Motley Fool. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Can't get enough business news?

Sign up for Finance Report by AOL and get everything from retailer news to the latest IPOs delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.