Our Q&As are emailed in our Saturday Morning Report, find the answer to this question below.
Good Morning Gents, I have a significant holding in Vault Minerals (ASX:VAU). If you were up well over 100% would you take profits, exit or stay with the new entity? Further to that it's been suggested that Regis Resources could be a takeover target now, but I don't see - from current production and limitations for future growth - that they would be all that attractive?
Hi David,
We’ve provided a general view of Vault, not taking into consideration your personal situation.
The deal is more or less done with Genesis taking over Vault, after trumping Regis Resources merger proposal. Genesis shareholders will own about 59.8% of the combined group and Vault shareholders will own about 40.2%, with the combined company expected to have a market value of roughly $12.6 billion and produce around 600,000–700,000 ounces of gold annually.
So far in 2026, VAU has outperformed its peers, only slipping ~4%, compared to say Northern Star (NST) -21%, Regis Resources (RRL) -14% and Genesis Minerals (GMD) -13%., obviously due to the prevailing corporate interest. Putting tax consequences to one side, and if we were looking squarely at gold exposure, we actually think Northern Star is probably better value here in the larger cap space, weighed down by some operational issues, which if they can sort out, would look interesting to us.
They have a market cap of ~$29bn, producing ~1.65Moz. Using the very crude measure of market cap vs annual production, NST sits at ~$17.6k per ounce , while the combined VAU/GMD group is going to be more like $19.5k per ounce. On the smaller side, Bellevue (BGL) is capped at $2bn and produces 145k/oz pa, putting it on $13.7k per ounce. A combination of NST and BGL could be an interesting way to play it.
We didn’t include Evolution (EVN) here because they have a high proportion of Copper credits in their production profile, but we also like EVN for the combined Gold/Copper story.
Take a free trial.
No payment details required.
Forgot password? Request a One Time Password or reset your password
One Time Password
Check your email for an email from [email protected]
Subject: Your OTP for Account Access
This email will have a code you can use as your One Time Password for instant access
A link to create a new password will be sent to the email address you have registered to your account.
Hi, this is only available to members. Join today and access the latest views on the latest developments from a professional money manager.
Our Smart Phone App will give you access to much of our content and notifications. Download for free today.
