Coeur Mining, Inc. announced it will acquire New Gold Inc. in a deal that will create a new, all North American senior precious metals producer. The transaction combines Coeur’s five operating mines with New Gold’s two Canadian operations, giving the combined company seven operations expected to generate $3 billion of EBITDA and $2 billion of free cash flow in 2026 from roughly 20 million ounces of silver, 900,000 ounces of gold, and 100 million pounds of copper.Under the arrangement, New Gold shareholders will receive 0.4959 shares of Coeur common stock for each New Gold share, valuing the deal at $8.51 per share — about a 16% premium over New Gold’s October 31, 2025 closing price. Upon completion, Coeur stockholders will own 62% of the combined company, with New Gold shareholders holding 38%. The pro forma market capitalization of the new entity will be approximately $20 billion.Coeur says the merger will create a North American-focused mining company with more than 80% of revenue generated from the U.S. and Canada, lower overall costs, higher margins, and sector-leading free cash flow. .The company also expects to rapidly grow its cash position and potentially achieve an investment-grade credit rating.The combined firm will be among the top 10 largest precious metals companies globally and one of the top five silver producers, with silver making up 30% of total reserves. Coeur plans to accelerate spending on organic growth projects, including New Afton’s K-Zone and brownfield exploration at Rainy River, while maintaining New Gold’s existing operations, offices, and Canadian workforce of over 1,700 employees.Coeur CEO Mitchell J. Krebs said the deal creates a “stronger, more resilient, and larger scale precious metals mining company,” while New Gold CEO Patrick Godin called it a “monumental day” that unlocks new potential for shareholders and extends mine life through exploration upside. Godin will join Coeur’s board, along with another current New Gold director.The transaction requires court approval in British Columbia and shareholder approval from both companies, with closing expected in the first half of 2026. Once complete, New Gold shares will be de-listed from the TSX and NYSE American. Both boards have unanimously recommended the deal, citing strategic and financial benefits for shareholders, employees, and the Canadian mining sector.
