Gold Resource (US:GORO) Businesswire·2026-01-26 11:00Core Viewpoint - Gold Resource Corporation has entered into a definitive arrangement agreement with Goldgroup Mining Inc. for a merger, where Goldgroup will acquire all outstanding shares of Gold Resource Corporation's common stock, valuing the transaction at approximately US$372 million [1][2][4]. Group 1: Transaction Details - Stockholders of Gold Resource Corporation will receive 1.4476 common shares of Goldgroup for each share of Gold Resource Corporation's common stock, adjusted to 0.3619 shares due to a four-for-one share consolidation by Goldgroup [2][3]. - The exchange ratio represents a value of US$2.25 per share of Gold Resource Corporation's common stock, reflecting a 39% premium based on the closing price on January 23, 2026 [2][4]. - The transaction will be executed through a reverse triangular merger, with Gold Resource Corporation becoming a wholly owned subsidiary of Goldgroup [3][4]. Group 2: Expected Benefits - The merger is expected to enhance production capabilities, particularly through the addition of the San Francisco Mine and Cerro Prieto Mine, which will increase gold exposure and cash generation [5][6]. - The combined company will have a diversified asset portfolio, including Gold Resource Corporation's Don David Gold Mine and Goldgroup's producing mines, which is anticipated to create a multi-mine producer [6]. - The transaction is expected to strengthen the financial position of the combined entity, providing increased financial flexibility for growth projects and exploration initiatives [6]. Group 3: Governance and Management - The transaction has been unanimously approved by the boards of directors of both companies and is expected to close in the second quarter of 2026, pending customary closing conditions [4]. - Upon completion, the board of directors of Goldgroup will include three directors from Goldgroup and two from Gold Resource Corporation, with the latter's executive management team expected to lead the combined company [4].