SSR Mining agrees to buy Roxmore Resources

SSR will pay C$6.75 a share in cash, about a 27% premium, valuing Roxmore at roughly $464m excluding a spin-off of its other exploration assets. The prize is the Converse gold project in Nevada, about 6 km from SSR’s Marigold mine. SSR shares fell about 7.6% on the news.

Why it matters. A textbook brownfield deal: the buyer pays for a deposit next to its own infrastructure, where synergies are easiest to capture.

Source

BNN Bloomberg

In the course

Module 9: The M&A process