#Canada #Toronto #Coeur Mining #New Gold #Business Merger

New Gold and Coeur Mining: A New Dawn in the Precious Metals Industry

In a groundbreaking development for the mining sector, New Gold Inc. announced that its shareholders have overwhelmingly approved a significant plan of arrangement with Coeur Mining Inc. This decision, made during a special meeting held on January 27, 2026, showcases a clear endorsement of the proposed merger, paving the way for the creation of a formidable player in the North American precious metals market.

Voting Results

The special resolution, known as the Arrangement Resolution, was supported by an impressive 99.22% of New Gold's common shareholders. Specifically, 476,065,996 votes were cast in favor, while only 3,727,348 votes opposed the measure. Even when excluding certain minority security holders, the results reflected an unwavering confidence in the transaction. Coeur shareholders mirrored this enthusiasm by also voting favorably on the same day.

Patrick Godin, the President and CEO of New Gold, expressed his satisfaction with the overwhelming support, calling it a vital step towards fusing the two companies. He emphasized the alignment in corporate cultures, particularly in their commitment to health and safety, alongside their shared financial strength. This merger is expected not only to enhance exploration potential but also to significantly extend the lifespan of their mines and grow shareholder value.

The Transaction's Details

Under the terms of the negotiated transaction, for each share of New Gold held, shareholders will receive 0.4959 shares of Coeur common stock. Following the completion of the merger, it is predicted that Coeur shareholders will hold around 62% of the combined entity, while New Gold shareholders will own approximately 38%. This distribution reflects a balanced approach to integrating the two firms’ assets and operations.

The transaction is currently pending final approval from the Supreme Court of British Columbia and is subject to several regulatory assessments. The expectation is that the transaction will close in the first half of 2026, contingent on meeting these requirements.

Future Prospects

As both companies work towards realizing the benefits of this merger, shareholders can anticipate a dynamic business landscape enriched by increased operational capabilities and market competitiveness. By pooling resources, the merged entity aims to capitalize on synergies that will promote sustainable growth and innovation in mineral production. In addition, Godin believes that this partnership could set a new standard for North American mining companies in terms of corporate responsibility and shareholder returns.

Overall, the approval from shareholders of both New Gold and Coeur Mining marks a major milestone in their journey, not only as individual companies but as a unified entity poised to lead in the precious metals sector. As they navigate the complexities of this merger, stakeholders will be closely watching how the integration unfolds and what new value it brings to the market. With their sights set on future exploration and production, both companies are eager to redefine their presence in the industry while delivering long-term benefits to their shareholders.

For further details regarding the transaction, you can refer to New Gold's management information circular dated December 19, 2025, which provides deeper insights into this transformative agreement and what it means for stakeholders.

Conclusion

In conclusion, the merger between New Gold and Coeur Mining is not just a corporate alignment but a strategic move towards solidifying a stronger foothold in the mining industry. As these two companies come together, they carry the promise of enhanced operational efficiencies and an optimistic outlook for future exploration and sustainable mining practices.