Another up and coming gold producer has been taken off the market. Allied Gold (TSX: AAUC) this morning revealed that it has entered into a definitive agreement to be acquired by China’s Zijin Gold International Company under an all cash deal.
The transaction values Allied Gold, who in 2025 was guiding to produce between 375,000 and 400,000 ounces of gold, at C$5.5 billion. The figure, which translates to C$44.00 per share, amounts to a 27% premium over the company’s 30-day volume weighted average price on the TSX.
“The announced Transaction provides a highly attractive all-cash offer for Allied Gold at what represents an all-time high for the Company’s share price, crystallizing significant and certain value for its shareholders. The Transaction is also a testament to the exceptional efforts of the entire Allied Gold team to identify, finance, optimize, grow, and develop what we have always known is a world-class portfolio of gold assets across Africa, and it is also an endorsement of these high-quality assets and the mining-friendly jurisdictions where they are located,” commented Peter Marrone, CEO and Chairman of Allied Gold.
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The transaction is said to be not subject to any financing conditions, with cash consideration to be funded via existing cash balances held by Zijin.
The closing of the transaction, which is expected to occur in April 2026, remains subject to shareholders and customary regulatory approvals. As part of the arrangement, approximately 15.4% of Allied’s shareholders have entered into voting support agreements.
A $220 million termination fee is also in play.
Allied Gold last traded at $41.75 on the TSX.
Information for this briefing was found via the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
