Coeur Mining Shares Slide Despite Key Legal Victory in Acquisition
01.02.2026 - 13:19:05
A major legal hurdle has been cleared for Coeur Mining's planned acquisition of New Gold Inc., but investor sentiment was overwhelmingly negative as a sector-wide selloff triggered a sharp decline in the company's share price.
Coeur Mining's stock closed at $20.44 on Friday, marking a significant drop of 16.81%. Trading activity surged, with approximately 47 million shares changing hands, well above the average volume. This decline occurred despite positive corporate news and was primarily driven by a severe correction in the silver and gold markets. A strengthening US dollar and a shift in market sentiment prompted widespread profit-taking, creating a wave of liquidation that pressured nearly all North American mining equities, irrespective of individual company developments.
Court Grants Final Approval for Merger
The Supreme Court of British Columbia issued the final approval for the proposed merger on January 30. This ruling authorizes Coeur Mining to acquire all outstanding shares of New Gold Inc. The transaction had previously received strong support from shareholders, who voted in clear favor of the deal.
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While this court decision is a critical step, the process is not yet complete. Certain regulatory clearances remain outstanding, including approval under Canada's Investment Canada Act. Company management anticipates finalizing the acquisition in the first half of 2026. The combined entity is poised to become one of the largest precious metals producers in North and Central America, with mining operations spanning the United States, Canada, and Mexico.
Upcoming Earnings in Focus
Market participants are now looking ahead to Coeur Mining's next scheduled financial update. The company is set to release its fourth-quarter and full-year 2025 results on February 18. Beyond the standard financial metrics, investors will be keen for details regarding the integration plan for New Gold and the broader strategic direction of the merged company. The upcoming report may indicate whether the firm's operational performance can offset the current weakness observed in the spot commodity markets.
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