Franco-Nevada Corp said on Thursday that it has offered to buy all common shares of Lumina Royalty Corp in a share and warrant deal worth $66 million.
Under the agreement, Lumina shareholders would receive 0.03487 Franco-Nevada share and 0.01917 Franco-Nevada warrant per common share. The shares are worth a total of $60 million while the warrants are worth $6 million.
Lumina owns royalty streams on four development stage properties in Chile and Argentina.
Lumina's board has recommended that shareholders accept Franco-Nevada's offer. Lumina is an unlisted company that was spun out of Lumina Copper Corp in June.