07:53 AM EDT, 05/11/2018 (MT Newswires) -- Kirkland Lake Gold (KL.TO, KL) -- a mid-tier gold producer that in 2018 is targeting over 620,000 ounces of gold production from mines in Canada and Australia -- was at last look up 0.5% in US pre-market trade and looks set to post fresh 52 week highs after saying late Thursday that it has entered into a share purchase agreement with Australia-lised Artemis Resources to acquire 4.0 million common shares of TSXV-listed Novo Resources (NVO.V) at $5.00 apiece for $20.0 million. NVO closed down 2.5% at $5.30 on the TSXV yesterday, and may add to those losses Friday based on the price KL is paying for its stock.

The acquisition is set to close on or before May 31, 2018. KL said in a statement that it is acquiring the shares for investment purposes. "Kirkland Lake Gold has a long-term view of the investment and may acquire additional securities either on the open market or through private acquisitions."

Upon closing of the Acquisition, assuming there is no change in the issued and outstanding share capital of Novo as of the date hereof, Kirkland will hold 29,830,268 Shares and 14,000,000 Warrants, representing approximately 18.86% of the outstanding common shares of Novo on an undiluted basis and approximately 25.46% of the outstanding shares on a partially diluted basis, assuming the exercise of the Warrants.

Price: 24.96, Change: +0.65, Percent Change: +2.67