Finance > M-a

Centerra lowers risk with AuRico takeover

Centerra Gold (CN:CG) is accelerating its shift towards Canada-focused production, agreeing to buy AuRico Metals (CN:AMI) and its Kemess brownfield copper-gold project in British Columbia.

Cameron French

Cameron French

Senior Reporter

Finance > M-a

Centerra lowers risk with AuRico takeover

Centerra Gold (CN:CG) is accelerating its shift towards Canada-focused production, agreeing to buy AuRico Metals (CN:AMI) and its Kemess brownfield copper-gold project in British Columbia.

Centerra lowers risk with AuRico takeover

There is already C$1 billion of existing infrastructure that can be used at the Kemess underground project

The all-cash deal values AuRico at C$310 million (US$240 million), or C$1.80 a share, and the company's stock jumped by about 37% in Toronto trading to sit just shy of the offer price. Centerra will pay for it out of cash on hand and a new C$125 million debt facility.