Newmont sells entire Orla stake for about $439 million in divestiture push
Gold mining giant, Newmont, announced on Friday that it has successfully sold its stake in Orla Mining for a whopping $439 million. The transaction took place on the Toronto Stock Exchange as part of the company’s ongoing divestiture program.
Newmont disposed of its entire holding of 43 million shares in Orla Mining at a price of $10.14 per share. This move comes as part of Newmont’s strategy to divest non-core assets, streamline its operations, trim its workforce, and reduce debt following its massive $17.14 billion acquisition of Australian firm, Newcrest, last year.
The company had set a target of unlocking over $2 billion in cash through portfolio optimization in the aftermath of the Newcrest acquisition. This initiative is part of Newmont’s broader transformation plan, which focuses on expanding Tier 1 assets and strengthening its core operations.
In line with its divestiture program, Newmont has been actively shedding assets since November 2024. One notable transaction involved the sale of the Musselwhite Gold Mine in Ontario to Orla Mining in an $850 million deal.
Newmont’s CEO, Tom Palmer, emphasized that the stake sale in Orla Mining is a strategic move aimed at streamlining the company’s equity portfolio and generating cash to support its capital allocation priorities.
This latest development underscores Newmont’s commitment to optimizing its asset portfolio, enhancing operational efficiency, and creating long-term value for its shareholders.
(Reporting by Sumit Saha in Bengaluru; Editing by Tasim Zahid)
