Coeur Mining and New Gold have entered into a definitive agreement whereby a wholly-owned subsidiary of Coeur will acquire all of the issued and outstanding shares of New Gold, pursuant to a court-approved plan of arrangement.
The addition of New Gold’s two Canadian mines – Rainy River and New Afton – results in a combined company with seven North American operations generating $3 billion of expected EBITDA and $2 billion of expected free cash flow in 2026 from production of approximately 20 million ounces of silver, 900,000 oz. of gold and 100 million pounds of copper.
“This transaction provides clear and compelling benefits for New Gold and Coeur shareholders by bringing together two companies with similar cultures to create a stronger, more resilient, and larger scale precious metals mining company,” said Mitchell J. Krebs, Coeur chairman, president and CEO.
“Both companies are in the early stages of generating significant cash flow after several years of heavy investment. We believe this is an extraordinary opportunity to create an unrivaled North American-only, mining powerhouse at just the right time.”
Under the terms of the agreement, New Gold shareholders will receive 0.4959 shares of Coeur common stock for each New Gold common share, implying a total equity value of $7 billion based on New Gold’s common shares outstanding and a pro forma combined equity market capitalization of approximately $20 billion.
Upon completion of the transaction, existing Coeur stockholders and New Gold shareholders will own approximately 62% and 38% of the outstanding common stock of the combined company, respectively.
The deal is expected to close in H1 2026.
Source: Coeur Mining