On the evening of June 12, Western Gold announced that it plans to acquire 100% of the shares of Xinjiang Meisheng Mining Co., Ltd. held by the controlling shareholder Xinjiang Nonferrous Metals Industry Co., Ltd. for 1,655 billion yuan. Compared with the book value of the target company, the premium rate is as high as 1421.66%. Further inquiries revealed that the target company's core assets, the acquisition cost of rights such as mining rights to the Katbaasu Gold and Copper Mine in Xinyuan County was 1.08 billion yuan a year ago. “A 14 times premium is not common in the industry.” According to an analysis by some people in the mining industry, mining companies' mergers and acquisitions place more importance on cost competitiveness throughout the life cycle, including comprehensive factors such as acquisition costs, construction expenses, and future production and operation. Currently, gold prices are at a historically high level, so we need to pay attention to the continued profitability of the target company and be wary of “chasing up” risks.

On the evening of June 12, Western Gold announced that it plans to acquire 100% of the shares of Xinjiang Meisheng Mining Co., Ltd. held by the controlling shareholder Xinjiang Nonferrous Metals Industry Co., Ltd. for 1,655 billion yuan. Compared with the book value of the target company, the premium rate is as high as 1421.66%. Further inquiries revealed that the target company's core assets, the acquisition cost of rights such as mining rights to the Katbaasu Gold and Copper Mine in Xinyuan County was 1.08 billion yuan a year ago. “A 14 times premium is not common in the industry.” According to an analysis by some people in the mining industry, mining companies' mergers and acquisitions place more importance on cost competitiveness throughout the life cycle, including comprehensive factors such as acquisition costs, construction expenses, and future production and operation. Currently, gold prices are at a historically high level, so we need to pay attention to the continued profitability of the target company and be wary of “chasing up” risks.