I repeat The merger between KL and AEM is 100% logical. A merger with Barrick or NEM for a 10% higher premium? No thank you.
AEM wants to increase their production year per year with 5%.
2021 : 3.400.000 oknces
2022 : 3.570.000 ounces
2023 : 3.748.500 ounces
2024 : 3.935.925 ounces
2025 : 4.132.721 ounces
And this with the lowest AISC of the sector.
They also want to increase the dividend every year by 20% and also pays special dividends.
What I find very interesting is their large pipeline.
Tony will also start with a buy-backprograme if needed and will pay back the debt.
Fund manangers want also the gold mines in their portfolio with a good beta and not to much risk. They will find AEM. The total quality of AEM after the merger is the highest in the sector.
The price of gold will do the rest.