Agnico Eagle Mines Limited (NYSE: AEM) announced it entered into a royalty purchase agreement with Prism Resources Inc. to acquire a 7.5% net profit interest royalty over certain properties in the Porcupine Mining District of Ontario for $5 million in cash.

The transaction involves properties owned by Agnico Eagle and is subject to approval by Prism's shareholders and acceptance by the TSX Venture Exchange. The transaction is expected to close in the third quarter of 2026, according to the company's statement.

Agnico Eagle currently owns 5,750,000 common shares of Prism, representing approximately 11.07% of the outstanding shares on a non-diluted basis. The company is not acquiring any additional shares or securities in Prism through this transaction.

The company noted the transaction is expected to result in the sale or transfer of a material amount of Prism's assets and may result in a material change in Prism's business. Agnico Eagle stated it may acquire additional Prism securities or dispose of existing holdings depending on market conditions and other factors.

Agnico Eagle operates mines in Canada, Australia, Finland and Mexico. The company has declared a cash dividend every year since 1983.