Alkane Resources and Mandalay Resources merge to create a leading multi-mine gold producer
From GlobeNewswire: 2025-04-27 17:55:00
Alkane Resources Limited and Mandalay Resources Corporation have agreed to merge in a “merger of equals,” creating a powerful platform for growth. The combined company will operate three mines in premier jurisdictions, with projected gold equivalent production increasing to over 180,000 ounces in 2026. The transaction is expected to benefit shareholders with a larger equity free-float and greater trading liquidity. The implied market capitalization of the combined company is estimated at A$1,013 / C$898 million. The transaction is subject to shareholder and regulatory approvals and is expected to close in Q3 2025. Directors of both companies unanimously recommend the transaction.
The merger will create a diversified Australian-centric gold and antimony producer with a strong balance sheet and a shared vision for growth. This strategic move will combine the assets and leadership of Alkane and Mandalay to enhance scale, financial strength, and pursue additional growth opportunities. The combined company is expected to benefit from improved capital market positioning, leading to a potential valuation re-rate. Shareholders are expected to benefit from a re-rated valuation and exposure to strategic antimony production. The transaction has been approved by the boards of both companies and is subject to customary closing conditions.
The merger of Alkane Resources Limited and Mandalay Resources Corporation will create a leading multi-mine gold and copper producer in Australia. The combined company will have a diversified production from three mines in premier jurisdictions, reducing operational and financial risk. Forward-looking statements suggest positive outcomes for the combined company, including increased production, reduced costs, and enhanced shareholder value. The transaction is expected to close in Q3 2025 and is subject to shareholder and regulatory approvals. Interested parties can access the conference call and webcast for more information on the transaction.
Read more at GlobeNewswire: Alkane and Mandalay Combine to Create Growing Gold and