Skip to main content
Canada’s most-awarded newsroom for a reason
Enjoy unlimited digital access
$1.99
per week
for 24 weeks
Canada’s most-awarded newsroom for a reason
$1.99
per week
for 24 weeks
// //

Molten metal is poured at Yamana Gold's Minera Florida mine in central Chile, on Feb. 19, 2009.

VICTOR RUIZ CABALLERO/REUTERS

Yamana Gold’s executive chairman said on Monday the miner could raise its dividend by a third as the company gears up for a London listing.

“Presently we are paying between $60-65 per ounce on dividends, as a policy we want to pay $50-$100 and that should imply that we have room for upside,” Peter Marrone told Reuters.

“My vote would be that within the year we can get ourselves to $100 per ounce.”

Story continues below advertisement

Yamana also said on Monday it was in advanced stages of a London Stock Exchange (LSE) listing expected at the end of the third quarter, to give it access to a bigger pool of capital.

Yamana does not intend to raise equity along with the LSE listing, where it plans to trade on the main market.

The miner produced 900,339 ounces of gold last year from its five mines in Chile, Argentina, Canada, Brazil.

Gold prices have jumped to their highest since 2011, spurring mergers and acquisitions among miners in the sector.

But Marrone said there were few assets that could deliver high returns and he preferred a transaction that was a merger of equals.

“Not an acquisition but a combination, perhaps through similarly-sized companies creating further critical mass. We are very open and receptive to that, we recognize that size does matter,” he said.

Such deals involving majors have occurred in the last couple of years, including Barrick Gold’s takeover of Randgold, Newmont’s merger with Goldcorp and more recently SSR Mining’s tie up with Alacer Gold .

Story continues below advertisement

Memery Crystal LLP is Yamana’s legal adviser and Velocity Trade Capital Ltd is its financial adviser. The company said it had also started the process of appointing UK corporate brokers.

Your time is valuable. Have the Top Business Headlines newsletter conveniently delivered to your inbox in the morning or evening. Sign up today.

Your Globe

Build your personal news feed

  1. Follow topics and authors relevant to your reading interests.
  2. Check your Following feed daily, and never miss an article. Access your Following feed from your account menu at the top right corner of every page.

Follow topics related to this article:

View more suggestions in Following Read more about following topics and authors
Report an error
Tickers mentioned in this story
Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to feedback@globeandmail.com. If you want to write a letter to the editor, please forward to letters@globeandmail.com.

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff.

We aim to create a safe and valuable space for discussion and debate. That means:

  • Treat others as you wish to be treated
  • Criticize ideas, not people
  • Stay on topic
  • Avoid the use of toxic and offensive language
  • Flag bad behaviour

If you do not see your comment posted immediately, it is being reviewed by the moderation team and may appear shortly, generally within an hour.

We aim to have all comments reviewed in a timely manner.

Comments that violate our community guidelines will not be posted.

UPDATED: Read our community guidelines here

Discussion loading ...

To view this site properly, enable cookies in your browser. Read our privacy policy to learn more.
How to enable cookies