For the past 2 years, your friendly Gold Enthusiast has wondered at the lack of junior gold miner buyouts. Then in December, Barrick announced they were buying Randgold, merging two of the giants in the sector. Used to be such mergers would be closely scrutinized by the SEC but there wasn’t much of this one, possibly because both companies have large international components, but possibly because no one important really cared.
Shortly after that union was consummated, Newmont and Goldcorp announced they were merging, creating the world’s largest gold company. Now on what might have been a peaceful Friday comes news that Barrick is considering buying the new Newmont. If that doesn’t wake up the merger police we’re not sure what would; it would mate the two largest gold companies in the world. Advice for the parties involved to take a cold shower is well given… Today’s featured article talks about this new merger, in much nicer tones than your Gold Enthusiast would have used. What do you think – is this one step too far, or three? Leave your Comments below.
Continue reading at Reuters.com