The Wall Street Journal-20080115-AngloGold Ashanti Ltd-- Deal Is Reached to Buy Golden Cycle Gold Corp-
Return to: The_Wall_Street_Journal-20080115
AngloGold Ashanti Ltd.: Deal Is Reached to Buy Golden Cycle Gold Corp.
AngloGold Ashanti Ltd. said it agreed to buy U.S.-based Golden Cycle Gold Corp. in a $149 million all-stock deal, giving the South African gold producer full control of the pair's Cripple Creek & Victor mining joint venture in Colorado. AngloGold holds a 67% stake in the venture, though it has a 100% interest in production until initial loans it made to the venture are repaid. The venture accounted for 60,000 of the 1.43 million ounces of gold produced by AngloGold in the three months ended Sept. 30. AngloGold said it has agreements to vote in favor of the deal from shareholders holding about 44% of Golden Cycle. The deal remains subject to the approval of Golden Cycle shareholders and regulators.
