ReOrg Research quotes Toronto lawyer Brad Freelan in an article on Shareholder Activism in the Mining industry.
Shareholders are impatient for change in the sector and will likely encourage some companies to push for a sale, agreed three M&A and shareholder activism lawyers with expertise in the mining sector.
“The industry is ripe for consolidation, at least from the shareholder perspective,” said Bradley Freelan, a partner at law firm Fasken. He noted that shareholders have been pushing for deals in the space for years.
Gold companies are currently less vulnerable to downturns from Covid-19 because the commodity has seen a resurgence in value, which often happens amid economic hardships, Freelan said. Other metals that have not fared as well, such as copper, might provide more opportunities for activists to push for change, he added.