JAG - TSX/NYSE
CONCORD, NH, Dec. 15, 2011 /CNW/ - Jaguar Mining Inc. ("Jaguar" or the
"Company") (TSX: JAG) (NYSE: JAG) today provided an update on the
strategic review process that it previously announced was initiated by
its Board of Directors on November 16, 2011.
The Board has appointed a Special Committee comprised solely of
independent directors to review and evaluate any proposals received as
part of the strategic review process and to assess whether any such
proposal may be more desirable than the continued operation of the
Company on a stand-alone basis, and to make recommendations to the
Board thereon. The Special Committee is chaired by Gil Clausen and is
comprised of Mr. Clausen, Gary German and John Andrews.
The Company has retained JP Morgan Securities LLC as its financial
advisor and Davies Ward Phillips & Vineberg LLP as legal counsel to
assist the Board and the Special Committee.
Over the past several weeks, through JP Morgan, the Company has
solicited interest regarding a potential change of control or merger
transaction with the Company.
Any proposal that may be received will be assessed relative to the
inherent value of the Company's unique asset portfolio in order to
determine the most effective means of delivering value to the
shareholders of Jaguar. There is no assurance that this strategic
review process will result in a change of control or merger
transaction.
"For a number of months Jaguar's share price has been disconnected from
the inherent value of the Company's unique asset portfolio," said Gary
German, Chairman of the Board. "The Special Committee has been formed
to explore alternatives. Our Board will not support a transaction that
does not deliver adequate value to our shareholders."
The Board intends to provide a further update to shareholders as
circumstances warrant, likely in early 2012.
About Jaguar
Jaguar is a gold producer in Brazil with operations in a prolific
greenstone belt in the state of Minas Gerais. Jaguar is also engaged in
developing the Gurupi Project in the state of Maranhão. Based on its
development plans, Jaguar is one of the fastest growing gold producers
in Brazil. The Company is actively exploring and developing additional
mineral resources at its approximate 256,300-hectare land base in
Brazil. Additional information is available on the Company's website at
www.jaguarmining.com.
Forward Looking Statements
This press release contains forward-looking statements, within the
meaning of the U.S. Private Securities Litigation Reform Act of 1995
and applicable Canadian securities laws, concerning the strategic
review process. These forward-looking statements can be identified by
the use of the words "assess", "will" and similar forward looking
language. Forward-looking statements involve known and unknown risks,
uncertainties and other factors, which may cause the actual results, or
performance to be materially different from any future results or
performance expressed or implied by the forward-looking statements.
These factors include the inherent risks involved in the exploration and
development of mineral properties, the uncertainties involved in
interpreting drilling results and other geological data, fluctuating
gold prices and monetary exchange rates, the possibility of project
cost delays and overruns or unanticipated costs and expenses,
uncertainties relating to the availability and costs of financing
needed in the future, uncertainties related to production rates, timing
of production and the cash and total costs of production, changes in
applicable laws including laws related to mining development,
environmental protection, and the protection of the health and safety
of mine workers, the availability of labor and equipment, the
possibility of labor strikes and work stoppages and changes in general
economic conditions. Although the Company has attempted to identify
important factors that could cause actual actions, events or results to
differ materially from those described in forward-looking information,
there may be other factors that cause actions, events or results to
differ from those anticipated, estimated or intended.
The forward-looking statements represent our view as of the date of
discussion. The Company anticipates that subsequent events and
developments may cause the Company's views to change. The Company does
not undertake to update any forward-looking statements, either written
or oral, that may be made from time to time by or on behalf of the
Company subsequent to the date of this discussion except as required by
law. For a discussion of important factors affecting the Company ,see
the "CAUTIONARY NOTE" regarding forward-looking statements and "RISK
FACTORS" in the Company's Annual Information Form for the year ended
December 31, 2010 filed on System for Electronic Document Analysis and
Retrieval and available at http://www.sedar.com and the Company's
Annual Report on Form 40-F for the year ended December 31, 2010 filed
with the United States Securities and Exchange Commission and available
at www.sec.gov.
<p> Investors and Analysts may contact:<br/> Roger Hendriksen<br/> Vice President, Investor Relations<br/> 603-224-4800<br/> <a href="mailto:rhendriksen@jaguarmining.com">rhendriksen@jaguarmining.com </a> </p> <p> Members of the media may contact:<br/> Valéria Rezende DioDato<br/> Director of Communication<br/> 603-224-4800<br/> <a href="mailto:valeria@jaguarmining.com">valeria@jaguarmining.com</a> </p>