Gold Fields on Monday announced plans to acquire its proposed takeover of Canada’s Yamana Gold with developments which it believes improve the value of the Transaction to shareholders.

The South Africa based Company said it will revise its dividend policy to enable it to declare an interim and final dividend in respect of each financial year, based on 30-45% of the normalized earnings attributable to owners of the parent. Furthermore, and subject to attaining the relevant normalized earnings and the applicable legal and board approvals required to declare a dividend, Gold Fields targets paying a dividend at the top end of the revised dividend policy (45% of normalized earnings) for the 2023 dividend cycles (being the 2023 interim and final dividends), following implementation of the proposed acquisition.

On Toronto Stock Exchange (TSX) listing, Gold Fields say they will apply to have its securities listed on the TSX, subject to the completion of the Transaction, to provide shareholders additional flexibility at limited incremental cost.

The TSX listing would be in addition to Gold Fields’ existing primary listing on the Johannesburg Stock Exchange (JSE) and secondary listing of American depositary shares on the New York Stock Exchange. The TSX listing is subject to the approval of the TSX in accordance with its listing requirements. The TSX has not conditionally approved Gold Fields’ listing application and there is no assurance that the TSX will approve the listing application.

Gold Fields shareholders are expected to vote on the deal during the second week of October.

Chris Griffith, Chief Executive Officer of Gold Fields, says: “We have a strong track record of growing the value and quality of our portfolio, being a disciplined operator, and rewarding our shareholders with superior returns. We believe the Yamana acquisition delivers on our strategy to grow the value and quality of our portfolio, by creating a winning combination of excellent assets with complementary operational strengths and proactively addressing industry wide production and reserve replacement challenges. He said.

“Gold Fields has proven capacity to unlock the full potential of Yamana’s world class assets which will give us a stronger capital markets profile and enable us to generate superior shareholder returns. I have been greatly encouraged by the constructive discussions we have had with our shareholders. The Board and management team remain steadfast in their belief in the long-term benefits that this deal will bring to both sets of shareholders.

“The acquisition of Yamana represents the culmination of many months of assessing the best option to accelerate Gold Fields’ growth strategy and deliver long term shareholder value. Having explored both organic growth and bolt on acquisitions, moving now to complete this transaction is the best opportunity for both speed of delivery and value to accelerate the next phase of the company’s growth” He further emphasized.

The Transaction will require the approval of at least two-thirds of the votes cast by Yamana Gold voting in person or represented by proxy at a special meeting of Yamana shareholders called for that purpose.