Yamana jointly acquired Osisko with Agnico Eagle Mines (AEM) for C$3.9 billion, or C$8.15 a share. The purchase included C$1billion in cash and approximately C$2.33 billion in Yamana and Agnica Eagle shares, along with shares in a new joint company, called Spinco, valued at about C$575 million.
Yamana and Agnico will have an equal share of Osisko's assets in the joint acquisition. The effective date as per the court's approval is June 16.
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The stock was up 3.66% to $8.07 at 12:20 p.m.
Separately, TheStreet Ratings team rates YAMANA GOLD INC as a "sell" with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate YAMANA GOLD INC (AUY) a SELL. This is driven by some concerns, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself."
Highlights from the analysis by TheStreet Ratings Team goes as follows: