R/€ = 16.27 Change: -0.02
R/$ = 14.54 Change: -0.02
Au 1344.07 $/oz Change: -0.09
Pt 801.83 $/oz Change: 4.57
 
 
R/€ = 16.27 Change: -0.02
R/$ = 14.54 Change: -0.02
Au 1344.07 $/oz Change: -0.09
Pt 801.83 $/oz Change: 4.57
 
 
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Iamgold said to explore sale amid gold sector consolidation

17th May 2019 BY: Bloomberg

NEW YORK – Canadian miner Iamgold is exploring a possible sale of all or part of the company amid a wave of consolidation in the gold sector, according to people familiar with the matter.

The Toronto-based miner is working with advisers and has spoken to several potential buyers, said the people, who asked not to be identified because the matter is private.

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Iamgold’s plans could still change and there’s no guarantee it would succeed in selling itself, the people said.

A representative for Iamgold declined to comment.

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Shares of Iamgold closed up 9.4%, valuing the company at about C$1.6-billion. The stock had fallen 36% this year through Wednesday. Some analysts have cut their ratings for the stock, expressing concern about its weaker-than-expected results, the increased risk to its 2019 guidance, and uncertainty around its Westwood project in Quebec.

The decision to explore a sale follows several sizable mergers in the gold space, including Newmont Mining’s $12-billion acquisition of GoldCorp and Barrick Gold’s $7.8-billion acquisition of Randgold Resources. 

EDITED BY: Bloomberg
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