Galane Gold Ltd. said Sept. 13 that it has closed its mandatory offer for the acquisition of outstanding ordinary shares of Galaxy Gold Mining Ltd. held by its minority shareholders.

As a result, Galane now owns around 98.6% of outstanding Galaxy shares.

Under terms of the offer, Galane Gold has agreed to pay an aggregate purchase price of approximately C$235,000 to holders of Galaxy shares who elected to receive cash consideration.

The company will also issue 2,340,094 common shares and 520,016 common share purchase warrants, exercisable at a price of 17.5 Canadian cents per share until Sept. 12, 2018, to Galaxy shareholders that opted to subscribe for securities of Galane.

Galaxy will exercise its right to compulsorily acquire all of the outstanding Galaxy shares, as the offer was accepted by shareholders of more than 90% of the shares not owned by Galane.

In addition, the company also said it appointed Gavin Vandervegt as CFO, effective Oct. 16. He will replace Bradshaw Zinyemba, who has been acting CFO at Galane.