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ISS backs Eldorado Gold share issuance for Foran Mining takeover

Tipranks - Thu Mar 26, 6:06PM CDT

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Eldorado Gold ( (TSE:ELD) ) has issued an update.

Eldorado Gold said Institutional Shareholder Services has recommended that its investors vote in favour of issuing new Eldorado shares to acquire Foran Mining under a proposed plan of arrangement. The endorsement from the influential proxy adviser bolsters management’s bid to complete the transaction, which would see Foran become a wholly owned subsidiary through a share-and-cash deal.

The board of Eldorado has unanimously backed the arrangement, arguing it aligns with the company’s strategy and is expected to enhance long-term growth by combining its operations with Foran’s assets. Independent fairness opinions have been obtained, and the company is urging shareholders to vote ahead of the early April deadline, underscoring the transaction’s importance for its future growth profile and capital markets positioning.

The most recent analyst rating on (TSE:ELD) stock is a Hold with a C$50.00 price target. To see the full list of analyst forecasts on Eldorado Gold stock, see the TSE:ELD Stock Forecast page.

Spark’s Take on ELD Stock

According to Spark, TipRanks’ AI Analyst, ELD is a Neutral.

The score is driven primarily by improved financial results (revenue/earnings rebound and solid capital base) but held back by uneven cash conversion and higher leverage/capex intensity. Technicals indicate a constructive longer-term trend but near-term consolidation, while valuation is only moderate given a 25.69 P/E. Earnings-call outlook is positive on growth (Skouries ramp) but balanced by execution delays and elevated costs.

To see Spark’s full report on ELD stock, click here.

More about Eldorado Gold

Eldorado Gold is a gold and base metals producer with mining, development and exploration operations in Canada, Greece and Türkiye. The company operates a portfolio of high-quality assets with a focus on safe, responsible operations and long-term partnerships with local communities, and its shares trade on the TSX and NYSE.

Average Trading Volume: 683,549

Technical Sentiment Signal: Buy

Current Market Cap: C$8.97B

Learn more about ELD stock on TipRanks’ Stock Analysis page.

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