King & Wood Mallesons has advised Gryphon Minerals Limited on a Scheme Implementation Agreement (SIA) with Teranga Gold Corporation.

Teranga Gold will acquire all of the ordinary shares of Gryphon via a scheme of arrangement. Under the SIA, each Gryphon Share will be exchanged for 0.169 common shares of Teranga, implying a total equity value for Gryphon of approximately $86m on a fully diluted basis.

The KWM team was led by partner Heath Lewis, supported by senior associate Caitlin Sharp.

Commenting on the deal, partner Heath Lewis said, “We are pleased to have been able to guide our client through this company defining deal. It demonstrates a continuation of the consolidation trend in West Africa where producers are seeking to add scale, project diversity and ounces through the acquisition of pre-production assets. Gryphon’s takeover by Teranga will mark the third deal in the region this year of this type of producer / developer transaction, following Endeavour’s acquisition of True Gold and Perseus’ acquisition of Amara Mining.”