Barrick and Newmont form Nevada Gold Mines

Instead of pursuing a hostile bid for Newmont, Barrick agreed to pool both companies’ Nevada assets, with Barrick holding 61.5% and operating. The partners projected about $500m of annual pre-tax synergies.

Why it matters. A joint venture can capture district synergies without paying a control premium.

Source

Barrick

In the course

Module 9: The M&A process