Barrick Gold agrees to buy rival Randgold in all-share deal

У світі з'явиться найбільша золотовидобувна компанія

The new company will have the sector's highest adjusted earnings before interest, tax, depreciation and appreciation and EBITDA margin of almost 50 percent based on 2017 numbers, and the lowest total cash cost position among its peers, the companies said.

The deal value, at 48.5 pound-a-share, matched Randgold's market capitalization as of Friday's close.

Under the terms of the deal, each Randgold shareholder will receive 6.1280 new Barrack shares for each Randgold share held, according to Dow Jones Newswires. John L. Thornton, executive chairman of Barrick, will become executive chairman of the new Barrick Group; Mark Bristow, CEO of Randgold, will become CEO of the new Barrick Group.

Thornton will remain as executive chairman, directing strategy and Bristow will be president and chief executive of the merged company, running day-to-day operations.

The deal will also give Barrick a much bigger presence in Africa, where Randgold has mines in Mali, Senegal, Côte d'Ivoire and the Democratic Republic of Congo.

The price of gold has fallen more than 8% this year, putting all gold producers under pressure.

Читайте также: Apple Watch Series 4 comes to SA on 28th September

The new company will keep the Barrick name and be listed in NY and Toronto, while Randgold's London listing will be cancelled.

Bristow added on another call that the new company would be open to weighing options for its Nevada and Australia assets, and said there had expressions of interest on the latter. Randgold Chief Financial Officer Graham Shuttleworth will become CFO of the new company.

The massive merger comes during a tough year for the gold industry. The strategies of the two companies are similar. "Both aim to generate free cash flow even if gold prices drop to as low as $1,000 an ounce", said Bloomberg News. They also have high internal "hurdle" rates for investment; in Barrick's case they must generate an internal rate of return of 15 per cent and in Randgold's 20 per cent.

The new Barrick, valued at $24 billion including debt, would be now the world's top gold miner by value and output, with a dominant position in Africa.

"From Randgold's perspective the deal diversifies exposure away from high-risk African markets and towards Barrick's more stable North American assets". Newmont didn't immediately respond to an emailed request for comment outside usual office hours. Randgold's London listing will be cancelled.

При любом использовании материалов сайта и дочерних проектов, гиперссылка на обязательна.
«» 2007 - 2019 Copyright.
Автоматизированное извлечение информации сайта запрещено.

Код для вставки в блог

Related News:

  • FIFA Best Awards: Ronaldo & Messi set to snub lavish London ceremony

    FIFA Best Awards: Ronaldo & Messi set to snub lavish London ceremony

    Winners France have a number of nominees tonight, of course, including coach Didier Deschamps and striker Kylian Mbappé. The former Tottenham midfielder's hopes of breaking 10 years of Messi and Ronaldo dominance are based on two things.
    Trump vows to rid Justice Department of 'lingering stench'

    Trump vows to rid Justice Department of 'lingering stench'

    Rosenstein denied the reported in a statement Friday afternoon and then issued a second, stronger statement late Friday night. The events the Times describes came on the heels of Rosenstein's unfortunate participation in Comey's firing.
    Porsche ends diesel production for good

    Porsche ends diesel production for good

    German carmaker Porsche has stopped manufacturing diesel models in the wake of parent company Volkswagen's emissions scandal. Another reason for the no-diesel vow, he said, is that the company wants to return to its sporty roots.
  • Dallas police fire officer who fatally shot man in his own apartment

    Dallas police fire officer who fatally shot man in his own apartment

    Neither affidavit detailed how close, specifically, Guyger and Jean were to each other during the encounter. Renee Hall terminated Guyger, who was arrested for manslaughter in the shooting death of Botham Jean , 26.

    Trump on Brett Kavanaugh: "I am with him all the way"

    Republicans, who hold a paper-thin majority in the Senate, can ill afford defections if Kavanaugh is to be approved. Whelan apologized for publicly naming Kavanaugh's former classmate and suggesting he may have assaulted Ford.
    Sen. Chuck Grassley Sets Friday Deadline for Kavanaugh Accuser

    Sen. Chuck Grassley Sets Friday Deadline for Kavanaugh Accuser

    If all 49 senators who caucus with Democrats vote no, two Republican no votes would sink Kavanaugh. The letter was leaked to the public without a name included within a week of the committee vote.
  • Second woman accuses US Supreme Court nominee of sexual assault

    Second woman accuses US Supreme Court nominee of sexual assault

    In the New Yorker piece, Ramirez acknowledged "significant gaps in her memories" and admitted she had been drinking at the party. In a New Yorker story published Sunday night, Deborah Ramirez said he exposed himself to her while they were students at Yale.
    49ers fear Garoppolo has a torn ACL

    49ers fear Garoppolo has a torn ACL

    Beathard would likely start as quarterback, unless the 49ers front office decides to explore a trade or free agency. Top cornerback Richard Sherman went down with a calf injury, while backup Tarvarius Moore left with a wrist injury.
    Amazon aims to make Alexa assistant bigger part of users' lives

    Amazon aims to make Alexa assistant bigger part of users' lives

    But one of the most important improvements announced by Amazon earlier today is Skype calling, which is coming to Alexa very soon. What you can do is pair two Echo Dots to create a stereo setup that'll give you a more rounded listening experience.
  • Three lessons for Arsenal to take from matchday 6 win over Everton

    Three lessons for Arsenal to take from matchday 6 win over Everton

    Aaron Ramsey played a part in both goals, the first an assist on Lacazette's outstanding strike in the 56th minute. Their side had won their previous three Premier League matches, and didn't look like stopping.
    Woman Finds ‘Exceptionally Rare' Two-Headed Snake In Her Garden

    Woman Finds ‘Exceptionally Rare' Two-Headed Snake In Her Garden

    However, professionals are caring for it, and if the serpent survives, it will be donated to a zoo for an educational exhibit. The radiographs found the snake has two tracheas, two esophaguses and the two heads share one heart and one set of lungs.
    Trump's SC nominee Kavanaugh faces another sexual assault allegations

    Trump's SC nominee Kavanaugh faces another sexual assault allegations

    The other male classmate Ramirez said was involved in the incident told the magazine, "I have zero recollection". The classmate independently recalled numerous same details Ramirez told The New Yorker about the incident.


Most liked

The crew of a Swiss merchant ship kidnapped by pirates
The pirates then destroyed the ship's communications equipment before making off with 12 of the 19 crew members. The Swiss foreign affairs ministry says none of the crew members is from Switzerland.

Iran to continue exporting crude despite fresh USA sanctions
On Monday morning, Brent crude , the main European futures contract, rose above $80 U.S. a barrel to $80.43 USA at mid-morning. However, Saudi Arabia and Russian Federation now say they have no more capacity.

Brett Kavanaugh: Second allegation made against court nominee
In a tweet aimed at Mr Kavanaugh shortly before midnight, Mr Grassley said he was giving them additional time. All three told investigators that they had no recollection of the evening in question, the committee said.

Iran summons UAE diplomat after Abu Dhabi adviser 'justifies' Ahvaz attack
Gunmen sprayed a crowd with bullets in the city of Ahvaz, killing at least 25 people, including children during the parade. Of the 25 people killed at Saturday's parade, 12 were from Ahvaz and the rest from elsewhere in Khuzestan province.

Six Flags Fright Fest 30-Hour Coffin Challenge
If more than one contestant wins a drawing will determine the victor . Six Flags described them as "deluxe, 2'x7', slightly used coffins".

Samsung Galaxy J6+, J4+ smartphones launched in India: Price, specifications
Samsung India on Friday launched a " Galaxy Watch " with lifestyle functions like stress and sleep-monitoring capabilities. Initially, we assumed that it will be one of their budget phones that will come with two cameras on the rear and front.

Labour set to back public vote on Brexit
A caller lost his temper with the Labour front bench for "changing their stance" on Brexit and the idea of a second referendum. Jeremy Corbyn will back a second Brexit referendum if Labour members vote for one during this week's party conference.

Indonesian teenager rescued after surviving 49 days adrift at sea
The teen's father, Alfian Adilang, said the family is overjoyed at his return but angry with his employer. The rafts are anchored with ropes and Mr Adilang said strong friction caused them to break.

Kavanaugh denies 2nd claim of sexual misconduct
Staffers for Republicans on the committee reached out to Keyser as part of their investigation into Ford's claims. Ford alleges Kavanaugh sexually assaulted her at a party when they were teens decades ago.

Saudi energy minister rips Trump tweet: 'I do not influence oil prices'
That equates to an increase of about 1 million bpd, but the latest data shows they are some way from achieving that target. Prior to the US sanctions threat, Seoul imported 180,000 barrels per day of Iran's crude oil , according to the report.

Pompeo confident United States will win China trade war
The US will levy tariffs of 10% initially, rising to 25% at the end of 2018. Previous talks in late August led to little progress.

Paul Pogba explains why Alexis Sanchez will come good at Manchester United
Paul Pogba is confident under-fire Alexis Sanchez will come good at Manchester United amid his team-mate's struggles to impress. Mourinho's men now trail Premier League leaders Liverpool by eight points and still have to face their bitter rivals twice.

ISIS video claims to show attackers of Iranian military parade
Iranian armed forces members march in a military parade similar to that struck by gunmen on Saturday. There have also been economic protests in the region and protests over Iran's nationwide drought.

Tiger Woods: The stunning statistics
To come all the way back, Woods said a couple of times this year, was fantastic even before he won. "It was special to see them". Rose, on the other hand, won the FedEx Cup and a $US10 million ($13.7 million) payday, with Woods finishing in second spot.

Testimony by Trump court nominee's accuser set; new allegation surfaces
The White House and Kavanaugh have denied the allegation as a "smear", and the White House is standing by the president's nominee. They also compared the current controversy to the sexual harassment allegations against Clarence Thomas by Anita Hill in 1991.