Dundee Corporation Announces the Closing of the Sale of Its Royalty on the Borborema Gold Project

Executive Summary

• Dundee Corporation completed the sale of its royalty on the Borborema Gold Project to Gold Royalty Corp. for a total consideration of US $45 million (US $30 M cash + US $15 M in GROY common shares at $4.20 per share).
• The transaction strengthens Dundee’s balance sheet, delivers NAV accretion and underscores management’s strategy to crystallize value and redeploy capital into mining operations.
• Post‑transaction NAV per share is calculated at $8.28 versus a market price of $4.41, representing a 47 % discount to intrinsic value.

Key Details

• Purchase Price: US $45 million total
• Cash component: US $30 million
• Equity component: US $15 million in Gold Royalty Corp. common shares (≈3.57 M shares at $4.20 each)
• Royalty Sold: Entire royalty interest on the Borborema Gold Project.
• Strategic Rationale:
• “Disciplined step” to crystallize value and redeploy capital into cash‑flow generating mining operations.
• Enhances balance sheet and delivers NAV accretion for shareholders.
• NAV per Share (post‑sale): $8.28
• Cash: $2.06
• Magna Mining Inc.: $1.78
• New Found Gold Corp.: $0.58
• Saturn Metals Ltd.: $0.51
• Ausgold Ltd.: $0.51
• Gold Royalty Corp.: $0.29 (post‑sale holding)
• Other Mining: $1.65
• Non‑Mining Private Investments: $0.90
• Share Price (Jan 20, 2026): $4.41 – a 47 % discount to NAV per share.
• Warrant Coverage: 12,240,000 shares of New Found Gold Corp. deposited with Computershare as collateral for potential warrant exercises from the previously announced block‑trade sale.
• Share Count Basis: Calculated on 86,894,687 Class A subordinate voting shares and 3,114,491 Class B common shares outstanding as of Jan 20, 2026.

Notable Quotes

“The closing of the sale of the Borborema royalty represents a disciplined step in our ongoing strategy to crystallize value and redeploy capital into opportunities that we believe can generate sustainable future cash flow for Dundee through mining operations.” – Jonathan Goodman, President & CEO, Dundee Corporation

Materiality: Material – Positive (significant cash inflow, balance‑sheet improvement, and NAV accretion).