Australia's Newcrest Mining gets takeover bid from Newmont
Feb. 05, 2023 7:57 PM ET
Newmont Corporation (NEM),
NCMGF,
NCM:CA,
NGT:CANCMGY
Newmont (NYSE:
NEM) made a
non-binding offer to acquire Newcrest Mining (
OTCPK:NCMGF) (
OTCPK:NCMGY), Australia's top gold miner on Sunday.
Under the proposed deal terms, Newcrest (
OTCPK:NCMGF) (
OTCPK:NCMGY) shareholders would receive 0.38 Newmont (
NEM) shares for each Newcrest share held, which would
value Newcrest at ~$17B.
Newcrest (
OTCPK:NCMGF) (
OTCPK:NCMGY) said its board is considering the proposal, which is conditional on Newmont (
NEM) being granted exclusive due diligence.
Newmont (
NEM) made an earlier bid offering an exchange ratio of 0.363, which Newcrest's (
OTCPK:NCMGF) (
OTCPK:NCMGY) board rejected.
Mining stocks such as Newmont (
NEM) "offer a potential recession hedge as a strong 'Fed pivot' could send gold soaring to a new all-time high"