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Barrick looks for gold in North American asset IPO

Elliott hasn’t said publicly what it wants from the gold miner but the math supports the case for a partial listing

Not all activist shareholder campaigns require a battering ram. At Barrick Mining, the $72bn Canadian gold producer that counts Elliott Management as a significant shareholder, the push to unlock value from a sprawling portfolio of assets looks more like a polite but pointed tap on the shoulder.

Barrick was already shaking itself up before Elliott’s stake became public in November. It replaced its chief executive in September and overhauled the team that runs its prized North American business. On Monday, the company said it has unanimously authorised management to explore an initial public offering of its North American gold assets.

The proposed offshoot would bundle Barrick’s interest in Nevada Gold Mines, the world’s largest gold-producing complex; its stake in the Pueblo Viejo mine in the Dominican Republic; and Fourmile, a wholly-owned Nevada deposit that Barrick hails as one of the most significant gold discoveries of this century. The company would float only a small minority stake, preserving a controlling majority.

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