What make Marathon attractive! Globe says single-asset miners like Pretium are desired
Pretium Resources Inc (C:PVG)
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Monday November 15 2021 - In the News
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Also Marathon Gold Corp (C:MOZ) In the News
Also Newcrest Mining Ltd (C:NCM) In the News
The Globe and Mail reports in its Monday, Nov. 15, edition that with Newcrest Mining set to acquire Pretium Resources, attention is now on which gold miner will be next to get scooped up.
The Globe's Niall McGee writes that money managers have been pushing single-asset miners to seek acquirers that are better capitalized than themselves. Newcrest's pending $3.5-billion acquisition of Pretium, a single-asset miner, is being pitched as exactly the kind of deal the industry has wished for. Pretium's Brucejack gold project, its only property, has been a beast to mine, with the company on occasion encountering large swings in grade because of erratic geology. Newcrest, by comparison, is a well-diversified company with mines in Australia, Canada and Papua New Guinea. The Globe says Newcrest is much better positioned to roll with the punches at Brucejack.
While the field of single-asset merger-and-acquisition candidates in Canada has shrunk considerably over the past few years, there are still a handful of companies that stand out as potential takeover targets. CI Global's Jon Case thinks Victoria Gold could attract interest. He says Artemis Gold, Skeena Resources and Marathon Gold are also potential targets.