Royal Gold (NASDAQ: RGLD) is acquiring Canadian streaming and royalty firms Sandstorm Gold (TSX: SSL, NYSE: SAND) and Horizon Copper (TSXV: HCU) in deals worth a combined $3.7 billion.
The Colorado-based company will pay about $3.5 billion for Sandstorm in an all-stock transaction and $196 million in cash for Horizon.
Under the Sandstorm deal, Royal Gold will issue 0.0625 shares for each Sandstorm share, representing a 21% premium based on the 20-day volume-weighted average price. Horizon shareholders will receive C$2.00 in cash per share, an 85% premium.
The acquisitions add 40 producing assets to Royal Gold’s portfolio, expected to deliver 65,000 to 80,000 gold equivalent ounces in 2025. Based on current forecasts, this would boost the company’s 2025 production by roughly 26%.
After closing, Royal Gold shareholders will own around 77% of the combined entity, while Sandstorm shareholders will…
