Gold Fields (NYSE:GFI) CEO Chris Griffith said Friday that shareholders are starting to better understand the miner’s proposed acquisition of Yamana Gold (AUY) that has been negatively received by the market.
Griffith told Reuters there would be no further changes to the deal terms, after announcing sweeteners earlier this week including higher dividends and a Toronto Stock Exchange listing.
The market does not like premium deals in the current difficult environment for gold stocks, the CEO said, adding that the timing of the deal announcement just before a plunge in gold prices has contributed to the negative reaction.
Griffith believes the deal helps Gold Fields (GFI) achieve a long coveted foothold in Canada while offering synergies in South America.
In May, Gold Fields (GFI) agreed to buy Yamana in an all-stock deal valuing the Canadian company at $6.7B.