View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
July 22, 2019

Barrick Gold and Acacia Mining reach buyout deal

Barrick Gold has signed an agreement to acquire a stake in Acacia Mining not currently owned by the company.

Barrick Gold has signed an agreement to acquire a stake in Acacia Mining not currently owned by the company.

Free Whitepaper
img

Mining Mega Trends and Their Impact to your Organisation's Resilience

Numerous mega trends are impacting the mining industry, making an effective resilience program more important than ever to ensure that operations continue as intended. From ESG considerations, through to the use of advanced technologies such as Internet of Things devices, AI, and digital twins, as well as workplace safety, volatility in commodity markets, and the spectre of Covid-19 still looming. Each mega trend has a different impact that needs managing correctly, with a one-size-fits-all approach insufficient. This white paper identifies the mega trends affecting mining businesses, while exploring the opportunities, risks, and implications for operational resilience, with expert insight from Dynamiq on the best practices and approaches to improve business outcomes. Download this document to learn more.  
by Dynamiq
Enter your details here to receive your free Whitepaper.

The acquisition is intended to be implemented by means of a court-sanctioned scheme of arrangement under Part 26 of the Companies Act.

Under the terms of the deal, Barrick will swap 0.168 of a Barrick share for each share of Acacia in a transaction that values the company at about €951m.

Barrick currently owns 262,246,950 Acacia shares, representing approximately 63.9% of the issued ordinary share capital of Acacia.

The deal represents a premium of 24.2% to Acacia’s closing stock price as of 18 July.

The exploration properties of Acacia are located in the Republic of Tanzania, the Republic of Kenya, the Republic of Mali, and Burkina Faso, including the excluded assets, for which sale processes have already been started by Acacia and are currently in-progress.

Acacia acting CEO Peter Geleta was quoted by Bloomberg as saying: “Given all the circumstances, this is possibly the best outcome.”

Last month, Acacia responded to majority shareholder Barrick’s valuation of the company, disagreeing with the exchange rate of 0.153 Barrick shares for each ordinary share of Acacia.

Barrick’s proposal values Acacia at $979m following an increase of 27% in Barrick shares, compared with $787m when it first proposed the deal in May.

In February, Barrick and the Government of Tanzania arrived at a proposal to settle outstanding disputes between Acacia and the government.

Last week, Acacia said Tanzania ordered the company to stop using a tailings storage facility at its North Mara Tailings Storage Facility (TSF) due to seepage from the TSF.

Related Companies

Free Whitepaper
img

Mining Mega Trends and Their Impact to your Organisation's Resilience

Numerous mega trends are impacting the mining industry, making an effective resilience program more important than ever to ensure that operations continue as intended. From ESG considerations, through to the use of advanced technologies such as Internet of Things devices, AI, and digital twins, as well as workplace safety, volatility in commodity markets, and the spectre of Covid-19 still looming. Each mega trend has a different impact that needs managing correctly, with a one-size-fits-all approach insufficient. This white paper identifies the mega trends affecting mining businesses, while exploring the opportunities, risks, and implications for operational resilience, with expert insight from Dynamiq on the best practices and approaches to improve business outcomes. Download this document to learn more.  
by Dynamiq
Enter your details here to receive your free Whitepaper.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The mining industry's most comprehensive news and information delivered every month. The mining industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Mining Technology