Very nice Josh Wolfson, analyst with RBC Dominion Securities, wrote in a note to clients the proposed compensation payouts to Yamana’s people, in combination with added transactions costs Yamana and Gold Fields are both paying, will wipe out three years’ worth of the promised synergies.
John Malloy, co-head of the emerging and frontier markets team at RWC Partners Ltd., known as Redwheel, which is a major Gold Fields shareholder and is opposed to the deal, said in an interview Tuesday the Yamana payouts are excessive.
“This looks like a really good deal for Yamana executives and board members, but not a good deal for Gold Fields shareholders,” Mr. Malloy said.