{"id":1183650,"date":"2020-05-11T11:56:46","date_gmt":"2020-05-11T16:56:46","guid":{"rendered":"https:\/\/www.mining.com\/?p=1023443"},"modified":"2020-05-11T11:56:46","modified_gmt":"2020-05-11T16:56:46","slug":"ssr-mining-acquires-alacer-in-1-7bn-all-stock-deal","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1183650","title":{"rendered":"SSR Mining acquires Alacer in $1.7bn all-stock deal"},"content":{"rendered":"<p>Canadian precious metals miner SSR Mining (NASDAQ, TSX: SSRM) <a href=\"http:\/\/ir.ssrmining.com\/investors\/news\/press-release-details\/2020\/SSR-Mining-and-Alacer-Gold-Announce-At-Market-Merger-of-Equals-to-Create-a-Free-Cash-Flow-Focused-Diversified-Gold-Producer\/default.aspx\"  rel=\"noreferrer noopener\" aria-label=\"has agreed (opens in a new tab)\">has agreed<\/a> to buy Alacer Gold (TSX: ASR, ASX: AQG) in an all-stock, zero-premium deal valued at C$2.41 billion ($1.72 billion).<\/p>\n<div class='ad-slot' id='div-gpt-ad-1561499308230-0'><script>googletag.cmd.push(function() {    googletag.display('div-gpt-ad-1561499308230-0');    googletag.pubads().addEventListener('slotRenderEnded', function (event) {        if (event.isEmpty) {            var id = event.slot.getSlotElementId();            var x = document.getElementById(id);            if(x == null) return;            if (x.parentElement.classList.contains('ad-slot')) {                x.parentElement.style.display = 'none';            }\t\t\t\t        }    });});<\/script><\/div>\n<p>Under the terms of the agreement, Alacer shareholders will receive 0.3246 of an SSR share per Alacer share held, which equates a consideration of C$8.19 per share ($5.84) \u2013 matching Alacer&#8217;s closing price on the TSX last Friday. <\/p>\n<p>At closing, SSR and Alacer shareholders will collectively own approximately 57% and 43% of the combined entity respectively.<\/p>\n<figure class=\"wp-block-pullquote alignright\">\n<blockquote>\n<p>The combined business would have a three-year average annual production profile of approximately 780,000 oz gold equivalent<\/p>\n<\/blockquote>\n<\/figure>\n<p>&#8220;Our focus at Alacer over the past several years has been on generating peer-leading free cash flow \u2013 this merger allows us to continue this strategy while diversifying our single operating asset exposure,&#8221; says Alacer chief executive Rod Antal.<\/p>\n<p>The new company, which will continue to operate as SSR Mining and be headquartered in Denver, will be led by Antal as president and CEO and Michael Anglin as chairman. <\/p>\n<p>The new board of directors would comprise five directors from each of the current SSR and Alacer boards for a total of 10 directors, including the CEO.<\/p>\n<p>The merger creates a diversified precious metals company with assets spanning four countries, adding Alacer&#8217;s flagship \u00c7\u00f6pler mine in Turkey to SSR&#8217;s existing portfolio that includes the Marigold gold mine in Nevada, the Seabee gold operations in Saskatchewan and the Puna operations in Jujuy, Argentina. <a aria-label=\"Last year (opens in a new tab)\" rel=\"noreferrer noopener\" href=\"https:\/\/www.mining.com\/alacer-posts-solid-cash-flow-production-in-2019\/\" >Last year<\/a>, \u00c7\u00f6pler produced 391,213 ounces of gold, which led to nearly $215 million in unlevered cash flow for Alacer.<\/p>\n<p>The combined business would have a three-year average annual production profile of approximately 780,000 oz gold equivalent at an all-in sustaining cost of $900\/oz and generate about $450 million in yearly free cash flow.<\/p>\n<p>The merger is subject to Alacer shareholder approval, while SSR shareholders will vote on the share issuance tied to the deal. Both votes are expected to be held in July.<\/p>\n<p>SSR has a right to match any superior proposals, and there is a $70 million reciprocal termination fee applicable to both companies.<\/p>\n<p>Shares of SSR Mining and Alacer Gold were down 8.0% and 7.2% respectively on the TSX at noon EST, erasing the gains recorded at market open Monday.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The merger creates a diversified precious metals company with assets spanning four countries.<\/p>\n","protected":false},"author":88,"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":[949,369],"tags":[],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1183650"}],"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\/88"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1183650"}],"version-history":[{"count":5,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1183650\/revisions"}],"predecessor-version":[{"id":1183685,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1183650\/revisions\/1183685"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1183650"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1183650"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1183650"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}