African Barrick Gold prepares for sale to Chinese gold firm

AFRICAN Barrick Gold (ABG) has appointed a transaction committee ahead of a potential offer from China Gold.

The committee, composed of Michael Kenyon, Derek Pannell and David Hodgson, will prepare ABG for a sale to the Chinese government-owned gold firm.

Barrick Gold, the Canadian parent company of ABG, announced last month it was in talks with China Gold to sell its 74 per cent stake in the London-listed miner.

JP Morgan Cazenove and RBC Capital Markets have been appointed financial advisers, having already acted as brokers to FTSE 250-listed ABG.

Barry Weir, who is also involved in the Glenstrata merger, is working alongside Ben Davies from JP Morgan Cazenove.

Jonathan Stephens and Martin Eales join from RBC Capital Markets. Stephens, director in the mining team, has recently worked on major transactions for Resolution and Petra Diamonds, while Eales, director in the broking team, most recently advised Allied Gold on its acquisition by St Barbara, which was completed last week.