New Gold Inc. (NYSE: NGD, TSX: NGD) is buying Ontario-based Rainy River Resources Ltd. in a deal that values the company at C$310 million (about U.S. $300 million).

The buyer is offering 0.5 of its own shares per Rainy River share, or $3.83 in cash. The maximum number of shares that can be issued for the deal is 25.8 million, and the maximum cash consideration is C$198 million.

Subscribe Now

Complete access to real-time information and analysis of news and trends in the industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.