November 18, 2016 / 1:17 PM / 2 years ago

Kirkland Lake urges shareholders to vote for Newmarket acquisition

Nov 18 (Reuters) - Kirkland Lake Gold Inc urged shareholders on Friday to vote for its proposed C$1 billion ($764 million) acquisition of Australian miner Newmarket Gold Inc.

Shareholders wanted the Canadian miner to resume talks with Gold Fields Ltd and Silver Standard Resources Inc on Wednesday, arguing that it was too hasty in rejecting their takeover offers.

Kirkland had confirmed last week a Reuters report that the two firms had made three joint bids for the mid-sized gold miner and recently sweetened their offer to about C$1.4 billion.

Shareholders want the company to disclose more details of the offer so they can weigh it against Kirkland’s planned acquisition of Newmarket Gold.

The Newmarket Gold transaction is somewhat of an outlier, as gold mining executives say the rising price of bullion has made acquisitions costlier for a sector focused on financial discipline.

Results of the shareholder vote on the Kirkland Lake-Newmarket deal are due Nov. 25. (Reporting by Vishaka George in Bengaluru; Editing by Shounak Dasgupta)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below