Newmont Receives Clearance from Australia’s Competition Regulator to Acquire Newcrest
[Click image to enlarge]
[Click image to enlarge]
Newmont Corporation said that following a review by the Australian Competition & Consumer Commission (ACCC), the agency has cleared the company to proceed with its proposed acquisition of Newcrest Mining Limited. The ACCC is expected to convey its clearance of the transaction to Australia’s Foreign Investment Review Board for consideration.
Newmont continues advancing other regulatory approvals and expects to close the transaction in the fourth quarter of this year. Earlier this month, Korea’s Fair Trade Commission and Papua New Guinea’s (PNG) Independent Consumer & Competition Commission cleared the proposed acquisition. In July, the Canadian Competition Bureau issued a “no action” letter also clearing the transaction.
Other regulatory approvals to be secured for Newmont’s proposed acquisition of Newcrest include the Australia Foreign Investment Review Board (FIRB), the Japan Fair Trade Commission (JFTC), and the Philippine Competition Commission (PCC). Newmont and Newcrest also continue engaging with the PNG Government and regulators about other approvals and clearances for the transaction.
On May 14, Newmont entered into a definitive agreement to acquire Newcrest. The combination would create a world-class portfolio of assets with the highest concentration of tier 1 operations, primarily in favorable, low-risk mining jurisdictions.
Upon closing of the transaction, the combined company would deliver a multi-decade production profile from ten large, long-life, low cost, tier 1 operations, and increased annual copper production primarily from Australia and Canada. The combined business is anticipated to generate annual pre-tax synergies of $500 million, expected to be achieved within the first 24 months, while also targeting at least $2 billion in the first two years after closing through portfolio optimization.
Newmont is the world’s leading gold company and a producer of copper, silver, zinc, and lead. The company’s world-class portfolio of assets, prospects and talent is anchored in favorable mining jurisdictions in North America, South America, Australia, and Africa. Newmont is the only gold producer listed in the S&P 500 Index and is widely recognized for its principled environmental, social, and governance practices. The company is an industry leader in value creation, supported by robust safety standards, superior execution, and technical expertise. Newmont was founded in 1921 and has been publicly traded since 1925.
Newcrest Mining Limited, together with its subsidiaries, engages in the exploration, mine development, mine operation, and sale of gold and gold/copper concentrates. It is also involved in the exploration of silver deposits. The company primarily owns and operates mines and projects located in Cadia and Telfer, Australia; and Lihir, Papua New Guinea. It also holds 70 percent interest in the Red Chris mine project located in British Columbia, Canada. Newcrest Mining Limited was founded in 1966 and is headquartered in Melbourne, Australia.
Be in-the-know when you’re on-the-go!
FREE eNews delivery service to your email twice-weekly. With a focus on lead-driven news, our news service will help you develop new business contacts on an on-going basis.
CLICK HERE to register your email address.
Copyright © 2023 Mining Connection LLC. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
For licensing permission, .(JavaScript must be enabled to view this email address)
