Why SSR Mining Stock Plunged More Than 10% Today
Shares of precious metals miner SSR Mining (NASDAQ: SSRM) dropped out of the gate on May 11, eventually falling by over 10% by noon EDT. The big news was a so-called "merger of equals" with Alacer Gold Corp (OTC: ALIAF), but investors clearly weren't that excited about the proposed tie-up.
In a roughly $4 billion deal, SSR Mining and Alacer will merge into a new entity that will keep the SSR name. Alacer shareholders will receive 0.3246 shares of SSR for each share of Alacer they own. There is no premium being offered. Once the transaction is complete, former SSR shareholders will own around 57% of the combined entity with the rest belonging to former Alacer shareholders.
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Source Fool.com
