In a significant development for the mining industry, Newmont Corporation has acquired a substantial stake in LunR Royalties Corp. through a dividend-in-kind distribution from Lundin Gold Inc. This strategic move positions Newmont as a major shareholder in LunR, with implications for both companies’ future operations and market positions.
The transaction, which involved the distribution of 16,099,564 common shares of LunR, was facilitated by Lundin Gold’s acquisition of a life-of-mine silver stream on its Fruta del Norte mine in Ecuador. This complex financial maneuver highlights the interconnected nature of the mining and investment sectors.
Background of the transaction
The origins of this transaction trace back to a silver stream agreement between Lundin Gold and LunR Royalties. On May 28, 2026Lundin Gold acquired 50,505,051 common shares of LunR as consideration for this agreement. These shares, known as the Consideration Shareswere then distributed to Lundin Gold’s shareholders through a special dividend-in-kind.
The distribution process was governed by a distribution agreement dated April 2, 2026. According to this agreement, Lundin Gold declared the special dividend on May 28, 2026with the distribution taking place on June 11, 2026 to shareholders of record as of June 4, 2026. Newmont’s wholly-owned indirect subsidiary, as a shareholder of Lundin Gold, received 16,099,564 common shares of LunR as part of this distribution.
Newmont’s new position in LunR Royalties
As a result of this distribution, Newmont now beneficially owns and exercises control over 16,099,564 common shares of LunR, representing approximately 13.32% of the issued and outstanding common shares on a non-diluted basis. Importantly, no cash consideration was paid by Newmont or its subsidiaries to acquire these shares.
The acquired shares are held for investment purposesand Newmont has indicated that it will continue to evaluate this investment. The company may adjust its shareholdings based on market conditions and other circumstances, subject to applicable securities laws. This strategic flexibility underscores Newmont’s approach to managing its investment portfolio.
Regulatory compliance and forward-looking statements
This transaction is being disclosed in accordance with the early warning provisions of Canadian securities legislation. Newmont will file an early warning report in compliance with National Instrument 62-103which outlines the requirements for significant shareholdings and take-over bids. Interested parties can obtain a copy of this report by contacting Newmont Investor Relations.
The press release also includes forward-looking statements regarding Newmont’s intentions with respect to its ownership in LunR. These statements are based on current expectations and are subject to various risks and uncertainties. Newmont has provided disclaimers regarding the accuracy of these statements and its obligation to update them, except as required by law.
Newmont Corporation, founded in 1921 and publicly traded since 1925is the world’s leading gold company and a significant producer of other metals. With a world-class portfolio of assets and a strong commitment to environmental, social, and governance practices, Newmont is well-positioned to navigate the complexities of the mining industry.
