‘Perfect Match’: Eldorado to Acquire Foran
Eldorado grows position in Canada and in copper
A week after the first major deal of 2026 was announced in the gold space, Eldorado Gold Corporation (TSX: ELD) has announced a friendly tie-up with copper developer Foran Mining Corporation (TSX: FOM).
Foran shareholders will receive 0.1128 of an Eldorado share and US1c in cash for each Foran share held, representing an 8% premium to the 20-day volume-weighted average trading price of Foran, and a nil premium to the closing price of Foran on Friday.
The deal implies an equity value for Foran of roughly C$3.8 billion.
Foran shareholders will own 24% of the combined company.
The combined business will remain headquartered in Vancouver under the Eldorado name.
The transaction brings together Eldorado’s four operating assets in Greece, Türkiye and Canada, and the Skouries development in Greece, with Foran’s McIlvenna development in Canada.
The enlarged Eldorado is expected to produce 900,000 gold equivalent ounces in 2027 and generate US$2.1 billion of EBITDA and US$1.5 billion in free cashflow, based on consensus metal price forecasts of US$3965 an ounce of gold, US$47.54/oz of silver, US$5.02 per pound of copper and US$1.26/lb of zinc.
The combined company’s commodity mix is forecast to be around 77% gold, 15% copper and 8% other metals, while its country exposure will be 43% Greece, 37% Canada and 20% Türkiye.
Eldorado CEO George Burns said the deal positioned the company “as a new copper-gold growth leader”.
Burns said the deal, which had been in the works for the past 6-7 months, shouldn’t surprise anyone, describing the combination as a “perfect match”.
“The metals that will be produced at McIlvenna Bay are already being produced in our portfolio,” he said during a conference call.
“We’re becoming a pretty serious copper producer by bringing on Skouries.”
Burns noted that there had been plenty of divestments of assets in Canada, but Eldorado had not considered any of them.
“Most of those have been older assets that need capital, or higher cost assets,” he said.
Foran executive chair and CEO Dan Myerson said there had been no formal sale process for the company and rather, it was a case of shared values between the two companies.
“It’s hard to find something better than this combined company,” he said.
Two new mines by mid-year
The enlarged Eldorado will have two new mines commissioning at the same time in mid-2026.
The companies said both projects remained on time and on budget.
Eldorado’s Skouries is 90% complete and will produce 140,000oz of gold and 67 million pounds of copper per year over 20 years.
Burns said Skouries had been de-risked.
“We don’t have risk of a blow-out and we don’t have risk of a misstep and it’s going to be a catalyst unfolding to the positive,” he said.
McIlvenna Bay, in Saskatchewan, is 85% complete and is set to produce 41Mlb of copper, 20,000oz of gold, 444,000oz of silver and 54Mlb of zinc over 18 years.
“Our team has done their due diligence on McIlvenna Bay and we’re very confident about where they sit,” Burns said.
Myerson said it 2026 would be a catalyst-rich period for the combined company.
“It’s quite a wonderful thing to have two brand new polymetallic, or copper, or gold – whatever way you want to look at it – mines coming online this year,” he said.
Backing
Eldorado and Foran said the deal had the backing of the Canadian government.
McIlvenna Bay was among the first projects referred for consideration to Canada’s new Major Projects Office in September 2025.
Saskatchewan Premier Scott Moe said the proposed transaction reinforced Saskatchewan’s position as a leading destination for responsible resource development.
“McIlvenna Bay is a high-quality project that will deliver jobs, investment, and long-term economic benefits for the province,” he said.
“A combination with Eldorado would further strengthen the project’s development pathway and underscore Canada’s role in supplying critical minerals to both domestic and global markets.”
The deal requires the approval of at least two-thirds of Foran shareholders.
Directors and senior officers of Foran owning a collective 4% of the company have entered into a voting and support agreement with Eldorado.
Foran’s major shareholders include Fairfax Financial Holdings with 22%, Agnico Eagle Mines (TSX: AEM) with 13.5%, Canada Growth Fund with 10% and Pierre Lassonde with 3%.
Agnico increased its stake in Foran in May last year with a C$90 million investment.
Foran and Agnico also have a joint technical committee.
Eldorado will have the right to match any superior proposal for Foran.
The pair expect the transaction to close in April.