On June 1, 2011, New Gold Inc. completed its previously announced acquisition of Richfield Ventures Corp. by way of a court approved plan of arrangement. Richfield's main asset, the Blackwater Project, is an advanced gold exploration property located in central British Columbia.
Under the terms of the Arrangement, each Richfield shareholder received 0.9217 of a New Gold share for each Richfield share held, plus a nominal cash consideration. The transaction, valued at approximately $550 million, was approved by the shareholders of Richfield.
Cassels Brock & Blackwell LLP represented New Gold with a team consisting of Cam Mingay; André Boivin and Jason MacIntosh (securities & mining); Jonathan Tkatch (securities) and Paul Carenza (tax).
Richfield was represented in the transaction by McMillan LLP, with a team consisting of Gary Floyd, Leo Raffin, Amandeep Sandhu and Lisa Fang (corporate and securities); Peter Botz (tax) and Herb Ono (US securities).