Target companiesWe can speculate about which company will be the next acquisition but whoever it is it will be the buy of the century.
For years the rule of thumb for valuing juniours was $65-100 an ounce in the ground-and that was when gold was struggling to hold $500. The massive repricing of risk that has happened has changed that dramatically. Deals are being done at $45/ ounce and juniors are trading at 15 to 30 an ounce, while gold has doubled. Its a once in a lifetime opportunity for well capitalized senior producers to acquire assets. NEM should be maxing out the lines of credit and shopping like Mila Mulroney in Saks!