Milbank advised Aurous Resources on a $362 million DeSPAC transaction with Rigel Resource Acquisition Corp. Blyvoor Gold Resources Proprietary Limited and Blyvoor Gold Operations Proprietary Limited (together, “Aurous Resources”), a producing mining group with industry-leading mid-term production growth and a first quartile production-cost position that owns the Blyvoor gold mine and the Gauta tailings retreatment project, which announced that it is going public by means of a business combination with Rigel Acquisition Corp. (NYSE:RRAC), a special purpose acquisition company, and related PIPE financing agreements. As a result, Aurous Resources will transition to a publicly listed company with its common shares traded on NASDAQ. The transaction values Aurous at a pre-money equity value of approximately $362 million.
The transaction, which has been unanimously approved by the boards of directors of Aurous Resources and Rigel, is expected to close in the second half of 2024, subject to approval by Rigel and Aurous Resources shareholders, and other customary closing conditions.
The Milbank team is led by Corporate Finance and Securities partner David Dixter and Global Corporate partner Iliana Ongun. The team also included Global Corporate associates Douglas Howell, Jonathan Schwartz, Marc Kilani and Sara El Souki, Corporate Finance and Securities associate Dimitris Krokos, as well as Tax partner Andrew Walker and associate Michael Rivkin, Executive Compensation and Employee Benefits partner Mike Shah and special counsel Kelly Bartley.
