{"id":1103287,"date":"2019-03-04T15:34:37","date_gmt":"2019-03-04T15:34:37","guid":{"rendered":"http:\/\/www.mining.com\/?p=974729"},"modified":"2019-03-04T15:34:37","modified_gmt":"2019-03-04T15:34:37","slug":"newmont-rejects-18b-hostile-bid-by-barrick-releases-private-messages","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1103287","title":{"rendered":"Newmont rejects $18B hostile bid by Barrick, releases private messages"},"content":{"rendered":"

Newmont Mining (NYSE:NEM) rejected Monday<\/a> rival\u00a0Barrick Gold\u2019s (TSX:ABX)(NYSE:GOLD) all-stock $18 billion hostile takeover offer, but left the door slightly open by countering with the terms of a deal to merge their operations in Nevada, U.S.<\/p>\n

Chief executive Gary Goldberg said Newmont\u2019s board had concluded that its planned $10 billion takeover of Canada\u2019s Goldcorp<\/a> (TSX:G) (NYSE:GG) was the best deal for shareholders.<\/p>\n

\u201cThe combination with Goldcorp is significantly more accretive to Newmont\u2019s shareholders on all relevant metrics compared to Barrick\u2019s proposal, even when factoring in Barrick\u2019s own synergy estimates,\u201d he said. \u201cRealizing value through Barrick\u2019s proposal for Newmont\u2019s shareholders hinges entirely on a new management team that lacks global operating experience and is only two months into its own transformational integration.\u201d<\/p>\n

The offer rejection, anticipated by analysts<\/a>, could consolidate the Colorado-based miner as the world’s biggest gold producer, with Barrick grabbing the second place and\u00a0Australia\u2019s Newcrest Mining (ASX:NCM) the third.<\/p>\n

Getting nasty<\/strong><\/h4>\n

Newmont\u2019s contra-proposal sees its Toronto-based rival holding a 55% interest in a Nevada joint venture, while Newmont-Goldcorp would have a 45% stake.<\/p>\n

Barrick and Newmont have held merger talks every decade or so for almost thirty years, with the last one blowing at the 11th hour in 2014.<\/p>\n

A combination of the two would create the world\u2019s No.1 gold miner with annual production of more than 10 million ounces. However, the Canadian firm has not offered a premium, telling shareholders they will benefit from the value created by merging the two companies.<\/p>\n

Hostilities between the two companies have grown since Barrick\u2019s approach last month. On top of the chief executives trading insults, Newmont has now released private communications between Barrick new boss Mark Bristow and Goldcorp chairman Ian Telfer in which he praises the Vancouver-based miner\u2019s \u201cstrong portfolio\u201d of assets in \u201cworld class districts\u201d. Bristow has previously said that Goldcorp had only one top tier gold asset in its portfolio, which is operated by Barrick.<\/p>\n

The post Newmont rejects $18B hostile bid by Barrick, releases private messages<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

The US mining giant fired back with the terms of a deal that seeks merging operations in Nevada.<\/p>\n

The post Newmont rejects $18B hostile bid by Barrick, releases private messages<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[421,514,1710,674,404,369,683,684,1020,662,663,664,440,517,428],"tags":[9,15,18,25,48,71,83],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1103287"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1103287"}],"version-history":[{"count":4,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1103287\/revisions"}],"predecessor-version":[{"id":1103339,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1103287\/revisions\/1103339"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1103287"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1103287"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1103287"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}