Gran Colombia Gold (TSX: GCM; OTCQX: TPRFF) has acquired an additional 1,295,100 common shares of Caldas Gold (TSXV: CGC) at an average price of $1.89 CAD per share in the open market during the period from February 28, 2020 through March 16, 2020, paying a total of$2.4 million. This increases the common shares controlled by Gran Colombia to a total of 37,545,200, representing approximately 74.4% of the outstanding common shares of Caldas Gold, resulting in a 2.6% change to Gran Colombia’s shareholdings in Caldas Gold.
Assuming exercise of the 7,500,000 Caldas Gold share purchase warrants at CA$3.00 per share owned by the Company, Gran Colombia would have control and direction over 45,045,200 common shares representing approximately 77.7% of the then outstanding common shares of Caldas.
Grand Colombia has activated its business continuity program in the face of the Coronavirus Pandemic
The mining firm also announced today that it is diligently monitoring the impact of the novel COVID-19 virus globally and has activated its business continuity program to help ensure that head office functions are maintained while employees work remotely and travel restrictions have been put into place. To date, COVID-19 has not impacted production or product shipments at any of the Company’s sites. Nor, to date, has there been any significant negative impact on Gran Colombia’s supply chain. Nonetheless, Gran Colombia is constantly monitoring the situation and is working with its critical suppliers, which the company understands have mitigation plans in place, to minimize any potential supply chain disruptions that might emerge.
Commenting on the situation, Serafino Iacono, Executive Chairman of Gran Colombia, stated, “These are unprecedented times and the health and well-being of all of our employees and their families as well as those we work with in our various communities is of the utmost importance. As the markets have experienced tremendous upheaval over the last week, we have also received many inbound inquiries from our concerned investors. To the extent possible, recognizing current share prices are well below what we feel is a fair value, we are using our established normal course issuer bid to purchase our common shares in the market for cancellation. We have also been making purchases of common shares in Caldas Gold Corp. (“Caldas Gold”) to support our position in the Marmato Project.”
Gran Colombia will continue to monitor developments in the situation and revise its response plans accordingly.