Australia's newest gold major starts trading

The A$14 billion merger between Northern Star Resources and Saracen Mineral Holdings is officially complete (reports MiningNews).
19th February 2021
Resources Rising Stars

The A$14 billion merger between Northern Star Resources and Saracen Mineral Holdings is officially complete (reports MiningNews).

The enlarged Northern Star started trading on the ASX this morning as Saracen was removed.

The scheme of arrangement was implemented on Friday, with Saracen shareholders being issued 0.3763 Northern Star shares for every share held.

The ASX 100 company is the second-largest Australian listed gold producer by production and market capitalisation.

Former Saracen managing director Raleigh Finlayson is now MD of Northern Star.

Former Saracen chairman Tony Kiernan has joined the Northern Star board as lead independent director, while John Richards and Sally Langer have been appointed as non-executive directors.

Long-time Northern Star director Peter O'Connor has retired from the board after nearly nine years of service.

Bill Beament will remain as executive chairman, before transitioning to non-executive chair at the end of June.

Management addressed the company's 3500 staff and contractors across three operational hubs: Yandal and Kalgoorlie in Western Australia and Pogo in Alaska.

"A lot of blood, sweat and tears have gone into these two companies," Beament said.

"We're not giving up that platform lightly. We're not standing still. I can tell you we're not slowing down."

The merged entity expects to realise $1.5-2 billion in synergies from the merger, though the company has already flagged potential upside to that figure.

"It's time to stop talking and start delivering," Finlayson said.

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