Fort Capital Investment Banking Pitch Book
Mandate & Summary
Summary of the Proposed Transaction
$4.10 per Corvus Share, payable in cash
• Each holder of Corvus Shares not currently owned by AngloGold, will be
entitled to receive $4.10 in cash (the "Offer Price")
- Anglo Gold currently owns 19.5% of current shares outstanding
for Corvus (17.8% on a fully diluted basis)
.
The Offer Price reflects a premium of 26.2% over the spot price
and 22.2% to Corvus' 20-day volume weighted average price
("VWAP") as of July 12 (announcement date of initial non-
binding offer)
- 58.9% premium over spot price prior to the announcement
of the loan from AngloGold (the "Unaffected Price")
The implied transaction value is ~$546M
Proposed Transaction to be completed by way of Plan of Arrangement,
which will require the Public Shareholders to vote in favour of the
acquisition
• Sprott has agreed to lock-up and a 3.25% breakfee has been agreed upon
Implied Premiums
Cash
Consideration
May-05-2021
$4.10
Jul-12-2021
$4.10
Spot
5-day 10-day
VWAP VWAP
Premium to Unaffected Price:
$2.58
58.9%
Sep-10-2021
$4.10
(1)
$2.53
$2.57
59.8%
$2.54
61.3%
62.3%
Premium to Unaffected Prior to Non-Binding Offer: 12
$3.26
$3.29
$3.35
22.2%
20-day
VWAP
$3.25
26.2%
25.7%
24.8%
Premium to Current Share Price:
$3.97
$3.99
$3.96
3.5%
3.3%
2.9%
$3.97
3.2%
60-day
VWAP
$2.56
59.9%
$3.23
26.9%
$3.86
6.1%
Transaction Overview
Offer Price per Share
Corvus Price (Unaffected)
Prem um to Spot (Unaffected)
Premium to 20D WWAP (Unaffected)
TSM Shares Outstanding
Implied Equity Value of Transaction
Plus: Total Debt
Less: Cash & ST Inv.
Transaction Value
Transaction Value
Implied Multiples
EVM&I Resources
EV/Total Resources
PINAV (Consensus)
TAC/oz
Share Price (C$)
$2.00
$1.50
$1.00
(CS)
(CS)
(96)
Sep-18 Mar-19 Sep-19 Mar-20
---Current Offer
Corvus
Using the unaffected price prior to the announcement of securing a US$20M loan from Anglo Gold (May 5, 2021)
GOLD (2) Using the unaffected price prior to the announcement of the initial CS4.00 offer from AngloGold (July 12, 2021)
(CSM)
(CSM)
(CSM)
(CSM)
(USSM)
Corvus Share Price Performance (Last 3 years)
$4.50
$4.00
$3.50
$3.00
$2.50
(USS/cz Au Eq)
(USS/cz AuEq)
(0.0x)
(USS/cz Au)
Sep-20 Mar-21
-Initial Offer
$4.10
$2.58
58.9%
62.5%
133.1
$545.6
$12.2
($11.4)
$546.4
$432.3
$113
$98
0.74x
$1,152
1.4
1.2
1.0
0.8
0.6
7
0.4
0.2
Sep-21
Volume (M)
Fort CapitalView entire presentation