“Our deal is the best deal” – Gold Fields in Yamana Gold Deals



Canadian miner Yamana Gold initially leaned toward a merger deal with South African firm Gold Fields, but is now on the sidelines after two other Canadian miners offered $4.8 billion in counter-offers.

Pan American Silver and Agnico Eagle Mines announced a cash-and-stock transaction at $5.02 per share.

Therefore, Pan American Silver will acquire Yamana outright. On the other hand, Agnico Eagle will acquire Yamana’s Canadian assets.

Also read: Gold Fields lays off more than 1,500 jobs

Meanwhile, Gold Fields said in a statement on Monday (Nov. 7) that Gold Fields’ board of directors has met to consider a joint offer by Pan American Silver and Agnico Eagle Mines to acquire all issued and outstanding common shares of Yamana Gold Inc, Headquartered on the information contained in the joint press release issued by Pan Am and Agnico on November 4, 2022, and in the press release issued by Yamana on the same date.

Strategically and financially superior to joint offer

“Having considered this information after consultation with financial and legal advisors, the Board remains of the view that the Gold Fields transaction jointly announced by Gold Fields and Yamana on May 31, 2022, remains strategically and financially superior to the joint offer,” the statement read.

“As a result, the Board has unanimously determined that the terms of the transaction will not be changed. In making this decision, the Board has taken into account its commitment to capital discipline and the long-term fairness of the transaction to Gold Fields and Yamana shareholders.”

Now read: Gold mines to announce sterling results

Gold Fields chief executive Chris Griffith said: “The board has unanimously decided not to propose changes to the terms of the transaction as we continue to believe our transaction is strategically and financially advantageous.

“We believe the highly complementary nature of Yamana’s operating assets and its broad pipeline of future growth projects, if added to Gold Fields’ current asset portfolio, will create significant near- and long-term value for Gold Fields and Yamana shareholders. Gold Fields’ proven financial, technical and ESG track record makes it an appropriate custodian for the combined assets.”

Gold Fields said it will continue efforts to complete the transaction on current terms under the arrangement agreement for the benefit of the shareholders of both companies.

A Yamana shareholder meeting to approve the transaction is scheduled for November 21, 2022.

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