Deals
Barrick Ends Hostile Bid But Walks Away With Long-Sought Prize
- ‘It’s a fantastic outcome,’ Barrick CEO Mark Bristow says
- Full merger off limits for 2 years unless it’s friendly: CEO
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Barrick Gold Corp. may have withdrawn its pursuit of rival Newmont Mining Corp., but the hostile-takeover bid did yield a big prize: Control over the largest single gold mining operation in the world.
On Monday, Barrick abandoned its $17.8 billion bid for Newmont, with the two largest gold companies instead announcing a joint venture around their Nevada assets, with Barrick holding sway over 61.5 percent of the operation. Barrick Chief Executive Officer Mark Bristow declined to say if control of the venture was his end game all along, but stressed that the final deal offers less “gristle” for investors to chew on than a full merger.