Coeur Mining (CDE) to Acquire New Gold, Roth MKM Lifts Price Target

Core Insights - Coeur Mining, Inc. (NYSE:CDE) is recognized as one of the 13 best gold mining companies to invest in currently, with Roth MKM raising its price target from $20 to $23 while maintaining a Buy rating [1] Acquisition Details - Coeur Mining has entered into a definitive agreement to acquire all issued and outstanding shares of New Gold Inc. (NYSEAMERICAN:NGD) through a wholly-owned subsidiary, following a court-approved plan of arrangement [2] Market Impact - The acquisition is expected to create a new North American senior mining company with an estimated market capitalization of $20 billion, projected to produce approximately 1.25 million gold equivalent ounces in 2026, including 20 million ounces of silver and 900,000 ounces of gold [3] - The combined entity is anticipated to generate over 80% of its revenue from the US and Canada, alongside strong free cash flow generation [3] Financial Projections - The new company is projected to generate around $3 billion in EBITDA and about $2 billion in free cash flow in 2026, significantly higher than Coeur Mining's expected EBITDA of $1 billion and free cash flow of approximately $550 million for the full year of 2025 [4] - The transaction is expected to result in lower costs and improved margins for the combined company [4]