Altus Strategies Plc signed a letter of intent to acquire 100% of Legend Gold Corp., which holds gold projects in Mali.

Legend shareholders will receive three Altus shares for each share held and will own a 27.6% stake in Altus following the transaction, according to an Oct. 11 release.

The Legend-owned projects include Korali Sud, Lakanfla, Sebessounkoto Sud, Djelimangara, Pitiangoma Est and Tabakarole in Mali.

The exchange ratio values Legend at C$5.7 million, with a per-share value of about 41 Canadian cents.

Officers and directors of Altus, who hold about 40% of the company's shares, agreed to vote in favor of the transaction.

Legend CEO Michael Winn will join the Altus' board as a nonexecutive director.

A definitive agreement is expected by the end of October.

Meanwhile, Altus intends to look for a dual listing on the TSX Venture Exchange with closing of the transaction.