Coeur Mining’s Landmark Acquisition Nears Shareholder Verdict

A pivotal shareholder vote scheduled for January 27 will determine the fate of Coeur Mining's proposed $7 billion all-stock acquisition of New Gold. Management, led by CEO Mitch Krebs, reports that integration planning is progressing ahead of schedule, aiming to forge a leading North American precious metals entity.

The special meeting later this month will see Coeur's investors voting on the issuance of new shares, a necessary step to facilitate the transaction. Under the terms, New Gold shareholders are set to receive 0.4959 Coeur shares for each share of New Gold they own. Krebs has expressed confidence, stating that "growth is already underway" and highlighting the combined company's projected financial strength. The merged entity is forecast to generate approximately $3 billion in EBITDA and $2 billion in free cash flow by 2026. A key strategic benefit is the exclusive operation within stable North American jurisdictions, a deliberate move to mitigate geopolitical risk.

Precious Metals Backdrop Supports Strategy

Following a late-2025 surge that pushed prices above $80 per ounce, silver has found a consolidation range between $72 and $74. Market strategists view this stabilization positively, noting it provides a sustainable foundation for Coeur's unhedged production without the volatility of a parabolic price spike. Robust margins, particularly at the expanded Rochester mine in Nevada which has now reached full design capacity, are bolstering debt reduction efforts ahead of the merger's closing.

Should investors sell immediately? Or is it worth buying Coeur Mining?

Institutional Investors Position for Post-Merger Phase

The deal is attracting attention from major asset managers. Firms like Allspring Global Investments have recently increased their stakes, signaling a bet on both a successful shareholder vote and a potential re-rating of the stock following the combination. The acquisition brings New Gold's Rainy River and New Afton mines into the portfolio, adding significant copper and gold output. The pro-forma company is expected to produce roughly 900,000 ounces of gold and 20 million ounces of silver annually, providing crucial diversification against silver price fluctuations.

Path Forward and Market Positioning

Coeur's share price maintains its key technical support levels, reflecting a measured response to stabilized metal prices. A favorable vote on January 27 is widely anticipated, which would allow the transaction to close in the first half of 2026. Subsequently, the market's focus will shift to the execution of synergy targets and the capital allocation strategy of the newly formed precious metals champion.