US-based Newmont’s shareholders cast over 96% votes in favour of its previously announced A$26.2bn ($16.8bn) acquisition of rival Australian gold mining company Newcrest Mining.

The transaction has secured all government regulatory approvals that are necessary to proceed.

Both companies expect to complete the deal in early November 2023, subject to the meeting of customary conditions.

Newcrest Mining’s shareholder vote will be held on 13 October 2023.

The deal implies an enterprise value of A$28.8bn ($19.26bn).

Newmont president and CEO Tom Palmer said: “Recognising the strategic rationale to create the industry’s strongest portfolio of world class gold and copper assets, Newmont’s shareholders overwhelmingly voted in favour of this transformational transaction.

“This unrivalled platform, featuring the industry’s best talent running the highest concentration of Tier One assets in the most favourable jurisdictions, uniquely positions Newmont to generate superior returns for decades.”

The two gold miners signed a binding scheme implementation deed (SID) in May 2023.

Under the terms of the SID, shareholders of Newcrest Mining will exchange each of their shares in the company for 0.4 shares of Newmont.

Besides, Newcrest Mining will be allowed to pay a franked special dividend of up to $1.1 per share.

Upon the completion of the implementation, Newcrest Mining’s shareholders will hold a 31% stake in the combined gold mining company while the remaining 69% will be owned by Newmont.

Following the closing of the deal, the combined entity aims to deliver a multi-decade production profile from 10 large, long-life, low cost, Tier 1 operations.

Besides, it expects to deliver increased annual copper production, primarily from Australia and Canada.

Furthermore, the combined business is estimated to generate annual pre-tax synergies of $500m within the first 24 months after closing.