by Thibaut Lepouttre
The Gold Report
Precious metals prices have gained momentum since the start of this year, and corporate M&A activity is heating up again. Caesars Report’s Thibaut Lepouttre highlights a handful of mining companies with market capitalizations attractive to larger companies looking to boost their project pipelines.
In the most recent mining merger and acquisition (M&A) activity, Goldcorp Inc. (G:TSX; GG:NYSE) acquired Kaminak Gold Corp. to get its hands on the Coffee project in Canada’s Yukon Territory, and Fortuna Silver Mines Inc. (FSM:NYSE; FVI:TSX; FVI:BVL; F4S:FSE) is in the process of acquiring Goldrock Mines Corp. (GRM:TSX.V), whose flagship asset is the development-stage Lindero heap-leach project in Argentina.
As gold and silver prices seem to be holding their ground—resulting in increased target prices for both precious metals—it would be normal to expect more M&A transactions to occur in the second half of the year, as the midtier and senior producers wouldn’t want to miss out on any deals.