The purchase, which still needs Bema shareholder approval, would create a $7.9 billion gold producer with nine mines in five countries and 4,700 worldwide employees. Kinross' management team would lead the new company, which would have reserves and resources of 50 million ounces of gold, 80 million ounces of silver and 2.9 billion pounds of copper.
Under the deal, Bema stockholders would exchange each of their shares for 0.441 of a Kinross share, which offers a 34 percent premium compared to Bema's 20-day average price on the Toronto Stock Exchange. After the deal is completed, Kinross shareholders would own 61 percent of the new company, while Bema shareholders would own the balance.
Bema's U.S.-listed shares rose 44 cents, or 9.2 percent, to $5.22 on the New York Stock Exchange, where they've traded between $2.52 and $6.33 over the past year.
Kinross's U.S.-listed shares fell $1.24, or 9.4 percent, to $12.02 on the NYSE, where the stock has ranged between $6.67 and $15.39 over the past 52 weeks.
