(Kitco News) - Yamana Gold Executive Chair Peter Marrone said he is not ready to take up golf as the acquisition of his company moves to a close.
Kitco Mining correspondent Paul Harris spoke to Marrone at Mines and Money London held from November 29 to December 1.
In the spring, Gold Fields announced plans to acquire Yamana. Total value of the bid eventually rose to $6.7 billion. The bid was supported by Yamana.
In November Agnico Eagle Mines and Pan American Silver made its own bid, which Yamana said was superior to the Gold Fields bid. Gold Fields said it would not add change its existing bid.
Yamana and Agnicio Eagle are 50-50 owners of Malartic Gold Mine, Canada's largest gold mine.
"Our board of directors provided a mandate to management going back to 2020 to look at how we can capitalize on the creation of value. Critical mass is important. Quality of assets is important, but critical mass has more of a bearing today than it has in the past," said Marrone.
Marrone said the Agnico-Pan American bid is 15% higher than the Gold Fields bid, along with a significant cash component.
"There's a significant cash component. That's something that can't be overlooked in the context of volatile markets," said Marrone.
Looking ahead, Marrone still feels the pull of the industry.
"I don't think that I'm picking up a golf club now, and I'm certainly very comfortable saying that I still see a lot of opportunities in our industry that I'm looking forward to taking advantage of," said Marrone.
Coverage of Mines and Money London sponsored by Discovery Group.
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