11:47 AM EDT, 04/29/2024 (MT Newswires) -- BMO Capital Markets on Monday reiterated its outperform rating on the shares of Equinox Gold ( EQX ) while raising its price target to C$10.00 from an undisclosed prior target after the company agreed to acquire the 40% of the Greenstone mine project in Ontario it does not already own for US$995 million.

"Equinox has entered into a binding agreement to purchase the remaining 40% of Greenstone, giving it 100% ownership of the asset. The purchase price of $995M matches our NAV estimate for Greenstone, and will be paid with $745M cash and $250M in shares. Equinox is funding the deal with a $299M bought deal and a $500M term loan. We view the transaction positively, as it increases EQX's exposure to its best asset and should allow the company to achieve its goal of 1Moz annual production. Our target rises to $10," analyst Kevin O'Halloran noted.

(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)

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