Newmont Corporation has announced that it has been cleared to proceed with its proposed acquisition of Newcrest Mining, following a review by the Australian Competition and Consumer Commission (ACCC).
The ACCC is expected to convey its clearance of the transaction to Australia’s Foreign Investment Review Board for consideration.
Newmont is continuing to advance other regulatory approvals and expects to close the transaction in the fourth quarter of 2023.
In early August, Korea’s Fair Trade Commission and Papua New Guinea’s (PNG) Independent Consumer and Competition Commission cleared the proposed acquisition and in July, the Canadian Competition Bureau issued a “no action” letter, also clearing the transaction.
Other regulatory approvals to be secured for Newmont’s proposed acquisition of Newcrest include the Australia Foreign Investment Review Board, the Japan Fair Trade Commission, and the Philippine Competition Commission. Newmont and Newcrest also continue engaging with the PNG Government and regulators about other approvals and clearances for the transaction.
On 14 May, Newmont announced its definitive agreement to acquire Newcrest.
Upon closing of the transaction, the combined company would deliver a multi-decade production profile from ten large, long-life, low cost, Tier One operations, and increased annual copper production primarily from Australia and Canada.
The combined business is anticipated to generate annual pre-tax synergies of $500 million, expected to be achieved within the first 24 months, while also targeting at least $2 billion in the first two years after closing through portfolio optimization.
