🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Newmont's $16.7 billion Newcrest deal gets all regulatory nods; nears shareholder vote

Published 10/05/2023, 08:17 PM
Updated 10/05/2023, 09:25 PM
© Reuters. FILE PHOTO: A small toy figure and imitation gold are seen in front of the Newcrest logo in this illustration taken November 19, 2021. REUTERS/Dado Ruvic/Illustration/File Photo
NEM
-
NCMGF
-

(Reuters) -Australian gold miner Newcrest Mining (OTC:NCMGF) said on Friday Newmont Corporation, its suitor for a proposed A$26.2 billion ($16.68 billion) buyout, had received all government regulatory approvals required for the deal to go through.

The deal still awaits the crucial Newcrest shareholder vote, scheduled for Oct. 13.

"The approvals include ones from the Australian Foreign Investment Review Board and competition authorities in Australia, Canada and Papua New Guinea," Newcrest said in a statement.

Australia's largest gold miner, Newcrest, had in May backed the takeover offer from Newmont, in what would be the third-largest deal ever involving an Australian company.

Newmont said on Wednesday it had received nods from the Securities Commission of Papua New Guinea and also the Philippine Competition Commission.

Newmont, the world's largest gold producer, and Newcrest anticipate the transaction closing in the fourth quarter of this year, subject to the satisfaction of customary closing conditions.

Newmont said it expected the merged gold giant to generate annual pre-tax synergies of $500 million, likely to be achieved within the first two years post closing.

© Reuters. FILE PHOTO: A small toy figure and imitation gold are seen in front of the Newcrest logo in this illustration taken November 19, 2021. REUTERS/Dado Ruvic/Illustration/File Photo

"The combined business is also targeting at least $2 billion in cash improvements through portfolio optimization in the first two years after closing," the world's largest gold miner added.

($1 = 1.5706 Australian dollars)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.