Kinross keen on M&A but will take a disciplined approach - CEO
By Euan Rocha
TORONTO May 5 (Reuters) - Kinross Gold is scouting for acquisition opportunities but vows it will be disciplined and only strike a deal if it offers value to shareholders, the Canadian gold miner's chief executive said on Tuesday.
"On the external front, we are looking like everyone else is," Paul Rollinson said in an interview. "But at the end of the day we will be disciplined."
The CEO spoke as the Toronto-based company reported results that edged past expectations.
Investors have punished Kinross for a risky deal in 2010 that eventually soured badly. In March, the company settled a lawsuit that had accused it of defrauding investors by making a bet on Red Back Mining and its Tasiast mine in Mauritania that has led to over $6 billion in writedowns.
Its share price has fallen nearly 90 percent since the time the Red Back deal closed in September 2010.
Despite this, Kinross, whose assets include operations in Russia, Brazil and the United States, among other countries, is once again scouting for assets with an eye to future growth.
Kinross is widely viewed as one of the front runners in the race to acquire AngloGold Ashanti Ltd's Cripple Creek gold mine in Colorado.
Analysts and industry insiders also see Kinross as a likely bidder for AuriCo Gold Inc, which owns the Young-Davidson mine in Northern Ontario. AuRico last month agreed to a friendly deal with rival Alamos Gold Inc, but Kinross, along with rivals Iamgold Corp and others, are widely expected to put forward counter proposals. Continued...