Alkane Resources to Acquire Mandalay Resources in $650M All-Share Deal

Australia’s Alkane Resources Ltd (ASX:ALK) announced plans to acquire Canada’s Mandalay Resources Corp (TSX:MND) in an all-share transaction, creating a diversified mid-tier gold and antimony producer with assets in Australia and Sweden. Under the agreement, Alkane will issue 7.875 shares for each Mandalay share, resulting in Mandalay shareholders owning approximately 55% of the combined company.

The merged entity will have an estimated market capitalization of A$1.01 billion ($650 million) and operate three producing mines. Gold-equivalent production is projected at around 160,000 ounces in 2025, rising to over 180,000 ounces by 2026. Alkane’s Managing Director, Nic Earner, will lead the new group, which plans to maintain its ASX listing while pursuing a dual listing on the TSX to enhance trading liquidity and investor reach.

The companies expect the merger to improve valuation prospects and trading activity. Completion of the deal is anticipated in the third quarter of 2025, subject to shareholder and regulatory approvals. The move positions Alkane and Mandalay to strengthen their presence in the gold and antimony markets, with growth-focused operations across key mining jurisdictions.