Shortly before the end of the year, Canadian gold explorer Goliath Resources (WKN A2P063 / TSXV: GOT, OTCQB: GOTRF) once again has very positive news to report. For a change, however, the news is not about the already huge and steadily growing Surebet gold discovery. Instead, Goliath announces that multimillionaire and a strategic cornerstone mining investor Rob McEwen is increasing his personal stake in the company, shelling out more than CAD 1.2 million. If that’s not a vote of confidence, what is?
Specifically, Rob the Chairman and Chief Owner of McEwen Inc. a gold and silver producer has exercised all of his personal Goliath warrants and paid CAD 1,214,285 for the privilege. The major investor now holds a total of 4,445,142 million common shares of Goliath, representing 2.6% of the issued and outstanding shares!
McEwen’s stake in Goliath rises to 2.6%
In 1993 Rob initiated a consolidation of five companies, a process that took eight years to complete and culminated in the creation of Goldcorp Inc., which became a powerhouse of gold mining. During the last thirteen years of Rob’s tenure as CEO, Goldcorp’s market capitalization grew from US $50 million to over US $8 billion, with its share price increasing at a compound annual rate of 31%. Goldcorp was eventually acquired in 2019 by Newmont for a transaction value of US $10 billion.
McEwen Inc. (TSX: MUX, NYSE: MUX) itself is also a strategic cornerstone shareholder in Goliath. This company holds 5,181,347 common shares and 2,590,673 warrants. If the warrants were exercised in full, McEwen Inc. would then hold approximately 4.45% of Goliath’s outstanding shares.
Roger Rosmus, Founder and CEO of Goliath, commented on the deal: “We would like to thank all of our cornerstone strategic and long-term investors for their continued support, especially Rob McEwen for exercising his warrants. The $1,214,285 in proceeds received will further improve and strengthen Goliath’s already healthy financial position.”
Conclusion: Shortly before the Christmas break, Rob’s transaction is yet another confirmation of the confidence that the renowned investor has in Goliath Resources. Especially, as the company is one of the fortunate exploration companies that – so far – has had no problems filling its coffers and does not really need this cash injection at present. And Goliath has already announced a fully funded aggressive drill campaign planned for 2026. So, bring on the New Year!
