Eldorado Gold Corp. (EGO), on Monday, announced an agreement to acquire Foran Mining Corp. (FOM.TO, FMCXF) in a transaction valuing Foran at approximately C$3.8 billion, creating a gold-copper producer with significant near-term growth and free cash flow generation.
The deal is expected to close in the second quarter of 2026, after which Foran shares will be delisted from the TSX and OTCQX.
Under the court-approved plan of arrangement, Foran shareholders will receive 0.1128 Eldorado shares and $0.01 in cash for each Foran share held.
The consideration represents an 8% premium to Foran's 20-day VWAP based on Eldorado's 20-day VWAP ended January 30. Existing Eldorado shareholders are expected to own about 76% of the combined company, with Foran shareholders holding about 24%.
The combination brings together two fully financed development projects, Skouries in Greece and McIlvenna Bay in Saskatchewan, Canada, both on schedule and on budget for commercial production in mid-2026.
The pro-forma company is expected to produce about 900,000 gold-equivalent ounces in 2027, generate roughly $2.1 billion in EBITDA, and deliver approximately $1.5 billion in free cash flow.
The combined portfolio will feature long-life assets across Canada, Greece and Türkiye, with production weighted about 77% gold, 15% copper and 8% other metals, enhancing jurisdictional and commodity diversification.
Eldorado said the transaction strengthens Canadian exposure, adds a project of national importance, and expands exploration upside, including at Foran's high-grade Tesla zone.
Foran Executive Chair and Chief Executive Officer Dan Myerson will join Eldorado's board of directors upon completion of the transaction.
In the pre-market trading, Eldorado Gold is 4.19% lesser at $41.11 on the New York Stock Exchange.
On Friday, Foran Mining closed trading 7.18% lesser at CAD 6.59 on the Toronto Stock Exchange.
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