GOLD Fields said on Tuesday it had concluded its $750m notes offering, the proceeds of which will be used to repay a bridge facility of the same value.
The seven-year notes, which carry a coupon of 5.854%, were issued by Windfall Mining Group and are guaranteed by Gold Fields.
These facilities were initially used to part-fund the $1.2bn acquisition of Osisko Mining which was completed in October 2024. The refinancing, however, is to accommodate Gold Fields’s A$3.7bn takeover of Gold Road Resources, announced earlier this month.
Said Alex Dall, CFO of Gold Fields: “This offering reflects our continued commitment to maintaining a strong and flexible capital structure, and to remain within our 1.0x net debt to adjusted EBITDA target through the cycle.
“We are pleased with the market’s support and the opportunity to further strengthen our balance sheet.”
If the Gold Road deal is consummated, said to be in the second half of thie year, it will see Gold Fields take 100% control of the 350,000 ounce a year Gruyere gold mine in Western Australia, as well as adjoining exploration properties.
The offer – which has been accepted by Gold Road’s board and 7.5% of its shareholders – represented a 43% premium to the Australian firm’s share price on March 21 prior to Gold Fields’s first bid.
Gold Fields said that this second offer was final. It would not be drawn into a bidding contest should a third party emerge.
“Throughout the period of engagement on the scheme, we have noted our commitment to remaining disciplined and prudent in our acquisition strategy to ensure continued maximisation of Gold Fields’ shareholder value,” said Mike Fraser, CEO of Gold Fields at the time the deal was announced.
