Merger Momentum Builds for Coeur Mining and New Gold

The proposed acquisition of New Gold by Coeur Mining is approaching its final stage, bolstered by key endorsements. With influential proxy advisory firms now backing the deal, shareholder votes scheduled for late January 2026 will determine the creation of a new North American precious metals leader.

The critical decision point is set for January 27, 2026, when both companies will hold their respective shareholder meetings to vote on the merger. New Gold shareholders have an earlier deadline, with their voting period closing at 11:00 a.m. Eastern Time on January 23. The transaction is structured entirely as a stock-for-stock deal. A subsidiary of Coeur Mining is slated to acquire all outstanding New Gold shares at an exchange ratio of 0.4959 Coeur shares for each New Gold share. Upon completion, current Coeur equity holders would own approximately 62% of the combined entity, with the remaining 38% held by former New Gold investors.

Proxy Advisors Give Crucial Backing

The merger campaign has gained substantial momentum following recommendations from both Institutional Shareholder Services (ISS) and Glass Lewis. This dual support is viewed on Wall Street as a significant factor in swaying institutional investor votes. Glass Lewis specifically endorsed the strategic rationale, stating the combined company is positioned for greater production capacity, enhanced cash flow, and improved trading liquidity. The deal also increases the likelihood of inclusion in major U.S. stock indices. For New Gold shareholders, the offer represents a premium of roughly 16% to the market price.

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

Creating a North American Powerhouse

The union would forge a major producer with seven operational mines across the United States, Canada, and Mexico. Financial projections for the merged group indicate annual revenue of around $3 billion, with estimated production of approximately 900,000 ounces of gold and 20 million ounces of silver. Coeur contributes a solid financial foundation to the partnership, holding $266 million in cash, having generated a positive free cash flow of $188 million recently, and achieving six consecutive profitable quarters.

Market sentiment has been notably positive. Coeur's stock has surged more than 216% over the past year. Analysts at Roth Capital recently raised their price target from $20 to $23 per share, reiterating a "Buy" rating and underscoring continued confidence in the growth strategy.

A major regulatory hurdle has already been cleared with the receipt of antitrust approvals. The focus now shifts entirely to the January 27 vote. A successful outcome would establish a producer with assets located solely within the geopolitically stable regions of North America—a safety feature highly valued by major investors in the current climate.