February 23, 2022
Kutcho Copper Corp. (TSXV:KC, BUY, C$1.75 target, Taylor Combaluzier) has closed its previously announced agreement with Wheaton Precious Metals Corp. (TSX:WPM, Not Rated). As part of the agreement, Kutcho has issued ~10.49M shares at a price of C$0.908/sh (total value of US$7.5M) to settle and terminate Kutcho’s outstanding convertible debenture and loan agreement. Wheaton now owns 17.64M shares of Kutcho representing ~15.4% of the company. As outlined in our previous note, we view this agreement positively as it cleans up Kutcho’s balance sheet ahead of the development activities for its 100%-owned Kutcho Cu-Zn project in BC. We believe having Wheaton as a significant shareholder is a big boost of confidence in the project as well as the management team at Kutcho. Read more
