OTTAWA (Reuters) - Shareholders of New Gold Inc , Metallica Resources Inc and Peak Gold Ltd have approved New Gold's C$1.39 billion ($1.37 billion) purchase of its two peers, the three Canadian gold miners said on Wednesday.
The transaction, which still requires court approval, is seen closing on June 30. The merged company, which will be based in Vancouver, British Columbia, has about 3.2 million proven and probable ounces of gold.
Under the deal, Metallica shareholders will receive 0.9 of a common share of New Gold for each common share. Peak Gold shareholders will receive 0.1 of a common share of New Gold for each share.
The merged company will create a mid-tier miner with a market capitalization of $1.6 billion to take advantage of lofty gold prices, the companies have said.
It is expected to produce about 297,000 ounces of gold in 2008 and 335,000 ounces in 2009, primarily from operating mines in Australia, Brazil and Mexico.
($1=$1.02 Canadian)
(Reporting by Susan Taylor; Editing by Scott Anderson)
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