Ramelius Resources Considers Merger with Westgold Amid Karora Negotiations

Ramelius Resources is considering a merger with Westgold Resources and has submitted an application to the Australian Government Takeovers Panel.

According to the Australian Financial Review, no sitting panel has been appointed and no decision to conduct proceedings has been made yet. Ramelius head Mark Zeptner initiated merger discussions a few months ago, but Westgold declined as it is currently in talks to merge with Canada-based Karora Resources.

The panel's media release stated, "On 14 November 2023, Ramelius and Westgold entered into a mutual confidentiality deed which included a mutual standstill for a period of 12 months ending on 14 November 2024."

Westgold announced on 8 April 2024 that it had entered into an agreement with Karora to acquire 100 percent of Karora via a Canadian plan of arrangement.

Westgold's managing director and CEO, Wayne Bramwell, said the merger with Karora would create a new mining powerhouse, combining Beta Hunt with Big Bell, the emerging Bluebird, and the iconic Great Fingall mine under one Australian management team.

The news of the potential Ramelius–Westgold merger comes amidst a busy period for mergers and acquisitions. Recently, BHP made three takeover bids for Anglo American but chose to walk away after Anglo rejected its latest offer, which valued each Anglo share at 0.8860 BHP shares, totaling $74 billion.