Shares in TSX-V-listed junior Royal Road rose 8% on Friday following an announcement that gold miner Agnico Eagle has bought more than 26-million shares of the company in a private placement.
Agnico Eagle’s purchase at C$0.20 a share increased its shareholding in the Central and South America-focused exploration firm from 9.43% to 19.9%, with the miner now owning 42 512 708 ordinary shares.
The shares were acquired for investment purposes, Agnico Eagle said in a statement on Friday.
Royal Road owns projects in Nicaragua and Colombia. The company earlier this month announced that it would buy a title package from Johannesburg-headquartered AngloGold Ashanti in Colombia. The package comprises mining concession agreements over 36 000 ha of land and applications for concessions of more than 215 000 ha of land.
Royal Road closed at C$0.20 a share on Friday.