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.
