https://www.theglobeandmail.com/
Kirkland Lake Gold Ltd.’s plan to acquire Detour Gold Corp. has been costly for Eric Sprott. How costly?
“I think my loss is $140-million,” the maverick gold investor said of the drop in value of his investment in Kirkland Lake in the two days since it announced its all-stock deal to acquire Detour. Mr. Sprott, who is Kirkland’s second-biggest shareholder, said this is also the biggest investment loss of his career, in such a short time period.
On Monday, Toronto-based Kirkland, one of the world’s most profitable gold companies, shocked the market by announcing it planned to buy struggling low-grade miner Detour Gold Corp. for $4.9-billion. Investors immediately soured on the deal. Kirkland Lake shares have lost about 16 per cent of their value since Monday.