Finance

AngloGold Ashanti buys Centamin for $2.5bn

AngloGold Ashanti has acquired Egypt-focused gold miner Centamin in a $2.5 billion (£1.9 billion) stock and cash deal.

The transaction will see the South African company become the world’s fourth-largest gold producer.

The deal grants AngloGold control of the Sukari mine, Egypt’s largest and first modern gold operation, as well as one of the world’s top-producing mines.

The addition of Sukari is expected to boost AngloGold’s annual output by around 450,000 ounces, bringing its total production to 3.1 million ounces per year.

Sukari, which has been in production since 2009, has produced over 5.9 million ounces of gold to date and is projected to continue for another 14 years.

“Today’s transaction is highly compelling and builds on the strong foundation we have established,” AngloGold’s chairman Jochen Tilk said in a statement. “It strengthens our position as the leading gold producer in Egypt and presents significant geological potential that we are well-equipped to develop.”

As part of the agreement, Centamin shareholders will receive 0.06983 new AngloGold shares for each Centamin share, along with $0.125 in cash.

The offer represents a 37% premium to Centamin’s closing price on September 9.

Following the merger, AngloGold shareholders will own approximately 83.6% of the combined entity, while Centamin investors will hold around 16.4%.

The acquisition follows AngloGold’s strategic shift away from South Africa, where it was founded more than a century ago.

In 2020, the company sold its last remaining South African asset to Harmony Gold and relocated its headquarters to London and New York last year.

This latest move comes amid a wave of industry consolidation driven by record gold prices. Last year, Newmont acquired Australia’s Newcrest Mining in a $19 billion deal, solidifying its position as the world’s largest gold producer.

Agnico Eagle Mines has also completed two major transactions since 2022, while South Africa’s Gold Fields recently purchased Canada’s Osisko Mining (TSX: OSK) in a deal worth C$2.16 billion ($1.6 billion).

The deal is another blow to the London Stock Exchange, which has seen a string of high-profile exits in recent years.

The market has faced difficulties since Randgold’s delisting following its merger with Barrick Gold in 2018, and the departure of Russian gold miners after the invasion of Ukraine.

 

Source: classfmonline.com

Ogyem Solomon

Solomon Ogyem – Media Entrepreneur | Journalist | Brand Ambassador Solomon Ogyem is a dynamic Ghanaian journalist and media entrepreneur currently based in South Africa. With a solid foundation in journalism, Solomon is a graduate of the OTEC School of Journalism and Communication Studies in Ghana and Oxbridge Academy in South Africa. He began his career as a reporter at OTEC 102.9 MHz in Kumasi, where he honed his skills in news reporting, community storytelling, and radio broadcasting. His passion for storytelling and dedication to the media industry led him to establish Press MltiMedia Company in South Africa—a growing platform committed to authentic African narratives and multimedia journalism. Solomon is the founder and owner of Thepressradio.com, a news portal focused on delivering credible, timely, and engaging stories across Ghana and Africa. He also owns Press Global Tickets, a service-driven venture in the travel and logistics space, providing reliable ticketing services. He previously owned two notable websites—Ghanaweb.mobi and ShowbizAfrica.net—both of which contributed to entertainment and socio-political discussions within Ghana’s digital space. With a diverse background in media, digital journalism, and business, Solomon Ogyem is dedicated to telling impactful African stories, empowering youth through media, and building cross-continental media partnerships.

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