Gold Road confirms bid for Canada’s Greenstone
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The news: Gold Road Resources has confirmed its interest in acquiring Canada’s Greenstone Gold Mines after a media report but said no deal has been finalised.
The numbers: The company said on Monday it is participating in the sale process being conducted by Orion Resource Partners. A report in The Australian speculated Orion was seeking a $1 billion-plus valuation for Greenstone and would need to raise capital to fund the deal.
Gold Resources shares were trading 5% lower at $1.73 after the company’s announcement.
The context: Gold Resources said in a statement to the ASX its participation in the Greenstone sale process remained ongoing and no definitive agreement has been finalised so far.
The ASX-listed firm owns a 50% interest in the Gruyere gold mine in Western Australia that it owns jointly with the mine’s operator, Gold Fields.
What they said: “Gold Resources continues to evaluate strategic opportunities and will only pursue acquisitions if it is in the best interests of its shareholders,” the company said.
The source: ASX announcement
