South African miner Gold Fields Ltd. has approached Australia’s largest gold producer, Northern Star Resources, about a potential takeover, according to reports citing people familiar with the matter. Northern Star rebuffed the initial overtures, and Gold Fields is reportedly considering its next steps.
A combination would create one of the world’s largest gold mining companies and deepen Gold Fields’ already significant presence in Australia.
The approach comes as Northern Star faces pressure from activist investor Elliott Investment Management to consider a sale or other strategic changes following operational challenges. Neither company has officially commented.