Canada’s Inmet Mining Corp (IMN.TO) said it will privately place C$500 million ($686.1 million) of subscription receipts to a unit of Singapore sovereign wealth fund Temasek (TEM.UL), for development of its project in Panama and for general corporate purposes. 

Inmet will sell about 9.3 million subscription receipts, priced at about C$54 per receipt to Ellington Investments Pte, an indirect wholly owned subsidiary of Temasek and expects the deal to be completed by the end of April. 

 

On completion of certain conditions, the subscription receipts will be exchanged for an equal number of Inmet’s common shares and the funds, to be held in escrow by CIBC Mellon Trust Co, will be released to Inmet. 

 

Following exchange of the receipts, Ellington and Inmet will enter into an investor rights agreement, under which Temasek unit will be entitled to name its nominee to Inmet board, the company said in a statement. 

 

On Monday, another Temasek unit agreed for a similar deal to invest US$100 million ($139.8 million) in Canadian platinum producer Pltmin Ltd (PPN.TO), as the fund looks to increase its investments in the mining sector. 

 

Shares of Inmet were up about 2% at C$56.55 Wednesday morning on the Toronto Stock Exchange.