Metals Volatility May Slow Pace of Mining M&A, BMO Bankers Say

The recent extreme volatility in metals markets may slow the pace of dealmaking in mining this year as wild price swings complicate transactions, according to the industry’s most active investment bank.

While interest in takeovers is being buoyed by high metals prices, strong balance sheets and growing shareholder support, getting companies to agree on the value of deals is now getting harder, said Ilan Bahar and Jamie Rogers, co-heads of global metals and mining at BMO Capital Markets.