The Problems Facing Tahoe Resources
Tue, Jul. 5, 2:23 PM
- Latin America-focused Tahoe Resources (TAHO -2%) is expanding its presence in Canada by agreeing to acquire Goldcorp's (GG +1.5%) 2% net smelter return royalty related to production at Bell Creek Mine in Ontario for $12.5M.
- The companies also agree to increase TAHO’s ownership interest in their Whitney joint venture to 100%; GG’s current interest of 30% would be reduced to a 2% net smelter royalty.
- TAHO says Bell Creek and Whitney are two key components of its strategy to increase gold production in the Timmins, Ont., area to more than 250K oz./year by 2020.
Mon, Apr. 4, 11:40 AM
- Tahoe Resources (TAHO +0.1%) says it completed its acquisition of Lake Shore Gold (NYSEMKT:LSG) and provides 2016 production guidance for the combined company.
- TAHO says the combined company ended 2015 with pro forma cash and equivalents of $179.3M; excluding debt related to LSG's convertible debentures, pro forma net cash at year-end was $115.8M.
- TAHO says FY 2015 pro forma cash flow from operations totaled $243.8M, or $148M net of sustaining capital.
- For 2016, TAHO forecasts the combined company to produce 370K-430K oz. of gold at total cash costs of $675-$725/oz. and all-in sustaining costs of $950-$1,000/oz., and maintains previous guidance for silver production of 18M-21M oz.
- Now read Tahoe Resources: Free cash flow positive, but will Lake Shore Gold shareholders be happy?
Mon, Feb. 8, 8:57 AM
- Lake Shore Gold (NYSEMKT:LSG) +9.3% premarket after agreeing to be acquired by Tahoe Resources (NYSE:TAHO) in an all-stock deal valued at ~C$945M.
- TAHO will pay 0.1467 of its stock for each LSG share, which works out to C$1.71, a 14.8% premium to LSG shares, based on both stocks' Friday close; the companies say the deal has an implied equity value of C$945M, assuming the conversion of some debentures.
- The deal adds LSG's low-cost gold Timmins West and Bell Creek mines in Timmins, Ontario, to TAHO's portfolio, which already includes the Escobal mine in Guatemala and two mines in Peru.
- The combined company is expected to produce 370K-430K oz. of gold in 2016 at total cash costs of $675-$725/oz. and all-in costs of $950-$1,000/oz.
- TAHO -2.7% premarket.
Feb. 9, 2015, 7:59 AM
- Tahoe Resources (NYSE:TAHO) agrees to acquire Rio Alto Mining (NYSE:RIOM) in a cash and stock deal valuing RIOM at ~C$1.4B ($1.12B), based on Friday's closing stock prices, in a bid to expand its presence in Latin America.
- RIOM shareholders would receive 0.227 of a TAHO share and $0.01 cash per share, making the offer worth ~C$4/share, a 22% premium to RIOM's C$3.28 closing price Friday on the Toronto Stock Exchange.
- TAHO controls the Escobal silver mine in Guatemala, while RIOM owns the La Arena gold mine and the Shahuindo gold project in Peru.
- Goldcorp (NYSE:GG) owns ~39% of TAHO shares and is supporting the deal.
Tahoe Resources Inc. engages in the acquisition, exploration and development of mineral properties. It operates the Escobal silver mine in Guatemala and La Arena gold mine in Peru and is the Shahuindo project, also in Peru. The company was founded by C. Kevin McArthur on November 10, 2009 and is... More
Sector: Basic Materials
Industry: Steel & Iron
Country: United States