Eldorado Gold Strengthens Copper-Gold Assets With C$3.8 Billion Foran Acquisition

BearMarketBard · 2026-02-17T12:07:25+00:00

Eldorado Gold Corp. plans to acquire Foran Mining Corp. for C$3.8 billion, creating a major copper and gold producer. Shareholders will receive shares and cash, with completion expected in 2026. The merger enhances production capabilities and diversifies assets.

BearMarketBard

2026-02-17 12:07:25

Abstract generation in progress

Eldorado Gold Corp. recently disclosed plans to acquire Foran Mining Corp., marking a transformative merger that positions the combined entity as a significant copper and gold producer. The all-stock plus cash transaction values Foran at approximately C$3.8 billion, with completion anticipated in the second quarter of 2026.

Transaction Structure and Shareholder Terms

Under the court-approved plan of arrangement, Foran shareholders will receive 0.1128 Eldorado shares plus $0.01 in cash per share held. This consideration reflects an 8% premium relative to both companies’ 20-day volume-weighted average prices as of January 30. Upon deal completion, existing Eldorado shareholders are projected to own roughly 76% of the merged company, while Foran investors will hold approximately 24% of the combined entity.

Integrated Project Portfolio With Diversified Copper Exposure

The merger unites two fully financed development initiatives on track for mid-2026 commercial production. Skouries in Greece and McIlvenna Bay in Saskatchewan, Canada represent fully committed capital programs. The combined portfolio delivers meaningful copper exposure alongside significant gold production, with projected commodity weights of 77% gold, 15% copper, and 8% other metals. This balanced configuration spans multiple jurisdictions across Canada, Greece, and Türkiye, reducing concentration risk and enhancing operational resilience.

Financial Projections and Strategic Rationale

The pro-forma company is forecast to generate approximately 900,000 gold-equivalent ounces during 2027, supported by an estimated $2.1 billion in EBITDA and roughly $1.5 billion in free cash flow generation. The transaction substantially strengthens the company’s Canadian presence by acquiring a strategically important asset while expanding mineral exploration potential, including at Foran’s high-grade Tesla zone. Following deal closure, Dan Myerson, serving as Foran’s Executive Chair and Chief Executive Officer, will be appointed to Eldorado’s board of directors.

Market reactions reflected investor positioning as of late January, with Eldorado Gold trading 4.19% lower at $41.11 on the New York Stock Exchange during pre-market activity, while Foran Mining closed 7.18% lower at CAD 6.59 on the Toronto Stock Exchange on Friday.

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