Newmont Completes Orla Mining Stake Sale, Shifts Portfolio Focus

Newmont Divests Entire Orla Mining Stake for US$439 Million

Newmont Corporation (NYSE: NEM, TSX: NGT), the world's leading gold producer, announced the completion of the sale of its entire 13.3% interest in Orla Mining Ltd. (TSX: OLA, NYSEAMERICAN: ORLA) on September 19, 2025. The transaction involved the disposition of 43 million common shares through the Toronto Stock Exchange at a price of US$10.14 (C$14.00) per share, generating aggregate gross proceeds of US$439 million (C$605 million).

Immediately prior to the sale, Newmont held 43,245,294 common shares, representing approximately 13.3% of Orla's issued and outstanding common shares. Following this disposition, Newmont no longer holds any shares in Orla Mining.

Market Reaction Reflects Strategic Divergence

The market exhibited a divergent reaction to Newmont's divestiture. Newmont's shares rose approximately 3% in New York following the announcement, elevating its market capitalization to US$88.6 billion. This upward movement suggests investor confidence in Newmont's strategic direction and its ability to unlock capital through portfolio optimization.

Conversely, Orla Mining's shares experienced a decline of nearly 7.8%, valuing the company at approximately US$3.32 billion. The fall in Orla's stock indicates the selling pressure that can arise from a significant institutional shareholder's exit, compounded by the recent divestment of an 11.3% stake by Agnico Eagle Mines Ltd. (TSX, NYSE: AEM) earlier in September for US$560.5 million.

Broader Context and Strategic Implications

This sale is a component of Newmont's overarching strategy to streamline its equity portfolio and generate substantial cash to support its capital allocation priorities. According to Newmont's CEO, Tom Palmer:

"Today's announcement demonstrates Newmont's ongoing commitment to streamlining our equity portfolio and unlocks significant cash to support Newmont's capital allocation priorities."

This initiative follows Newmont's US$17.14 billion acquisition of Newcrest Mining in 2023, with the company aiming to generate over US$2 billion in cash through asset sales, workforce reductions, and debt management. The proceeds from the Orla sale contribute to the approximately US$900 million in after-tax proceeds Newmont has generated from equity holdings sales in 2025.

For Orla Mining, the exit of two major institutional backers, Newmont and Agnico Eagle, within a short period presents both challenges and opportunities. While the immediate impact has been negative on share price, it necessitates Orla to broaden and diversify its investor base. Jason Simpson, Orla Mining's President and CEO, acknowledged Newmont's historical role:

"Orla's portfolio has been built, in part, through the acquisition of former Newmont assets."

This statement highlights the foundation of Orla's growth, which now must stand independently as the company continues to execute its strategy.

Looking Ahead

For Newmont, the successful divestment reinforces its commitment to focusing on Tier-1 assets and optimizing its financial structure, potentially freeing up capital for other strategic investments or debt reduction. Investors will monitor Newmont's deployment of these funds and its progress towards its broader divestiture targets.

For Orla Mining, the task ahead involves demonstrating sustained growth and attracting new institutional investment to offset the departure of its former major shareholders. The company operates two producing assets, Camino Rojo and Musselwhite, and has projected consolidated 2025 gold output of 265,000 to 285,000 ounces. Future performance and investor diversification will be key indicators of its ability to navigate this transition.