Coeur Mining and New Gold have signed a definitive agreement under which a wholly owned subsidiary of Coeur will acquire all issued and outstanding shares of New Gold through a court-approved plan of arrangement.
Under the terms of the agreement, New Gold shareholders will receive 0.4959 shares of Coeur common stock for each New Gold common share they hold.
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
Based on the closing price of Coeur shares on the New York Stock Exchange on 31 October 2025, the exchange ratio represents a value of $8.51 per New Gold share.
The aggregate total equity value of the transaction is approximately $7bn (C$9.84bn), based on New Gold’s outstanding shares.
Upon completion, current Coeur stockholders will own approximately 62% of the combined company, while New Gold shareholders will own around 38%.
The merged company will be a 100% North American-based senior precious metals producer with a market capitalisation of approximately $20bn, operating across seven sites.
It is projected to produce around 1.25 million gold equivalent ounces in 2026, including 20 million ounces of silver and 900,000oz of gold.
More than 80% of its revenue is expected to come from the US and Canada, with sector-leading free cash flow.
New Gold president, CEO and director Patrick Godin said: “Today is a monumental day for New Gold and the culmination of diligent focus by the team on operational and development work that has transformed New Gold into the financially strong and significant free cash flow-generating company it is today.
“A combination with Coeur unlocks the next level of potential for our shareholders, uniting with a company of similar financial strength and cash flow generation while also gaining exposure to a larger-scale, diversified portfolio with new long-life assets and immense exploration potential.
“Together, we will be a cash flow powerhouse, leaping above larger peers, with significant exploration upside and the potential to significantly extend mine life and grow net asset value per share.”
The combined entity is expected to generate around $3bn in earnings before interest, taxes, depreciation and amortisation (EBITDA) and $2bn in free cash flow in 2026, at lower overall costs and improved margins.
This represents a material increase from Coeur’s anticipated 2025 full-year EBITDA of $1bn and free cash flow of $550m.
The combined company will have a fully funded growth pipeline, accelerating investment in high-return organic growth opportunities including New Afton’s K-Zone, brownfield exploration at Rainy River, and projects across Coeur’s portfolio in the US, Mexico and Canada.
The transaction is accretive to all of Coeur’s key per share metrics, including net asset value, operating cash flow, and free cash flow.
This strengthens the combined company’s position for a potential share price re-rating.
With an enhanced sector and capital market profile, the company will rank among the world’s top ten largest precious metals producers and top five silver producers, with silver accounting for 30% of total metals reserves, according to Coeur.
Upon closing, Godin, along with one other current New Gold director, will join Coeur’s Board of Directors.
Godin added: “The combination will provide New Gold shareholders with value from combined operational synergies including rapidly unlocking the potential of K-Zone at New Afton and the exploration potential of Rainy River, while also diversifying our asset base by adding five high-quality precious metals operations with significant upside.
“I strongly believe in the potential of the pro forma company, which is why I am keen to join the Board, as we embark on the next stage in the evolution of both companies as a new, all-North American senior precious metals company, one that is unique in our industry.”
