By Cameron French
Barrick Gold (ABX.TO) will issue $3 billion in stock to eliminate all of its fixed-price gold hedges and a portion of its floating hedges, taking a $5.6 billion hit to third-quarter earnings, the world’s top gold miner said on Tuesday.
For Barrick, which expects gold prices to keep rising, the deal should remove what has been a big drag on its shares, the legacy of the company’s past reliance on hedging, a practice it abandoned in 2003.
Continue reading Barrick to Sell $3 Billion in Stock to Buy Back Hedges
