Zijin launches $5.5 billion all-cash bid for Allied Gold
Hong Kong Stock Exchange-listed Zijin Gold International has signed a definitive deal to acquire Allied Gold Corp. [AAUC-TSX, AAUC-OTCQX] for $44 per share or $5.5 billion cash.
The friendly offer price represents a premium of approximately 27% over Allied Gold’s 30-day volume weighted average trading price on the TSX as of the market closing on January 23, 2026.
On Monday, Allied Gold shares advanced on the news, rising 3.25% or $1.36 to $43.11. The shares previously traded in a 52-week range of $42.71 and $10.36.
Allied is a Canadian gold producer. It operates a portfolio of three producing assets and development projects located in Cote d’Ivoire, Mali and Ethiopia. Allied has said it aspires to become a mid-tier next-generation gold producer in Africa and ultimately, a leading senior global gold producer.
Allied Chairmand and CEO Peter Marrone said the transaction provides a highly attractive all-cash offer for Allied Gold at what represents an all-time high for the company’s share price.
Allied recently released an update on ongoing exploration and development activities at its Kurmuk mine in western Ethiopia. Kurmuk is a transformational development mine located within the metal-rich Arabian Nubian Shield, approximately 500 kilometres from the capital, Addis Ababa.
The company has also announced the start of ore processing at the Phase 1.0 expansion at the Sadiola mine in Mali where Allied is focusing on exploration and development of high-grade oxide deposits to maximize low-cost oxide feed and boost near term production and cash flows. Sadiola is expected to produce up to 205,000 ounces of gold this year at an all-in-sustaining cost of US$1,735 an ounce.
Zijin Gold ranks among the world’s largest mining companies.
“Allied Gold has successfully assembled and advanced a portfolio of large-scale, long-life gold assets with compelling expansion potential,” said Zijin Gold Chairman Hongfu Lin. “As successful new owners, we look forward to working with stakeholders in Eithopia, Mali, and Cote d’Ivoire to further advance these operations,” he said.
“Sadiola and Kurmuk are generational assets which we expect to provide multi-decade production, complemented by the meaningful production from the CDI Complex.’’
There are no financing conditions attached to the Zijin officer, with the cash consideration being funded from the company’s existing cash balances and available liquidity. Closing is expected to occur in late April, 2026.
At Kurmuk, following an expected start of operations in mid-2026, Allied is targeting an annual production level of approximately 290,000 ounces of gold in the first five years and 240,000 ounces over a 10-year mine life. All-in sustaining costs are expected to be below US$950 per ounce.
Sadiola was expected to produce up to 205,000 ounces of gold in 2025 at an all-in-sustaining cost of US$1,735 an ounce.