Shares of Newmont Mining (NYSE: NEM) are up over 6% this morning after Barrick Gold (NYSE: GOLD) put out a press release this morning saying that it was considering making an attempt of a hostile takeover of Newmont in what would be a pure stock offer.
Such a deal would make the Newmont buyout of Goldcorp fall apart. As a result, Goldcorp (NYSE: GG) shares are down today.
Barrick’s press release stated: “Barrick Gold Corporation (NYSE
It is not clear how close such a deal is to be made and there has been talk of such a combination being made in the past.
Disclosure: Mike Swanson is the editor of this website and owns shares of both Barrick and Newmont.
There are more reasons to buy Newmont or Barrick than today’s rumors. I talked about the gold mining sector and precious metals with Jim Goddard of www.howestreet.com yesterday: