New Gold Shareholders Greenlight Coeur Mining Takeover, Forging a North American Precious Metals Powerhouse
In a decisive vote on January 27, 2026, shareholders of New Gold Inc. (NYSE: NGD) ratified the previously announced plan of arrangement with Coeur Mining, Inc. (NYSE: CDE), clearing a critical path for the merger of the two mid-tier miners. The approval from both companies' shareholders sets the stage for the creation of a formidable, all-North American precious metals entity.
Under the terms of the agreement, a wholly-owned subsidiary of Coeur will acquire all outstanding shares of New Gold. New Gold shareholders will receive 0.4959 Coeur shares for each share held, granting them an approximate 38% stake in the combined company. The transaction remains subject to final court and regulatory approvals, with closure targeted for the first half of 2026.
The merger arrives amid a buoyant period for the sector. Just one day prior to the shareholder vote, Scotiabank Global Equity Research lifted its price target on New Gold from $10.50 to $12.75, maintaining an 'Outperform' rating. The revision was part of a broader sector update, citing firmer long-term forecasts for gold and silver prices driven by persistent macroeconomic uncertainty, geopolitical tensions, and sustained central bank demand.
"This consolidation is a strategic masterstroke in the current environment," said David Chen, a portfolio manager at Horizon Capital Advisors. "By combining New Gold's high-quality, producing assets like Rainy River and New Afton with Coeur's portfolio, they're building a more resilient, geographically focused operator with enhanced scale to attract institutional investment."
However, not all observers are convinced. Maya Rodriguez, a veteran mining analyst and frequent industry critic, offered a sharper perspective: "Let's call this what it is: a lifeline for New Gold, not a marriage of equals. Shareholders are getting diluted for the promise of 'scale' while management teams secure their payouts. The real test will be whether this combined entity can actually deliver operational synergies or if it just becomes another bloated, underperforming mid-cap burdened by integration headaches."
James Kellerman, a retail investor and long-time holder of New Gold shares, expressed cautious optimism: "I've ridden the ups and downs with NGD for years. The premium and the exposure to a larger, more diversified company feel like a reasonable exit from a volatile single-asset story. I'm voting yes, but I'll be watching the integration like a hawk."
The combined company is poised to rank among the top-tier North American-focused silver and gold producers, with a pipeline of assets across Canada, the United States, and Mexico.