From the @WSJ
Even with the recent burst of M&A, last year's gold-mining deals totaled $12.4 billion, almost half the peak in 2010, according to Dealogic. For mining as a whole, 2018's tally, at $59.6 billion, was 55% lower than the 2011 peak. For oil and gas, the total was $340 billion, the highest value in the past decade.
Miners and bankers give a variety of reasons for why the gold mining merger wave hasn't come. The poor performance of gold miners' shares means that sellers want to hold out for better valuations and buyers are reluctant to use shares they believe are undervalued for acquisitions.
The S&P TSX Global Gold Index is down 51% since its 2011. The S&P 500 has doubled in value in that time.
The industry as whole has a poor record in M&A. Miners overspent during the decadelong bubble that ended in 2011. That put off investors and made some executives wary of doing deals.
In 2016, PwC calculated that big miners had written off $200 billion of the value in acquisitions and projects over the previous five years.
See the whole article here:
Investors Are Still Waiting for a #Gold-#Mining Merger Wave