Equinox Gold Corp. (NYSE American: EQX) and Orla Mining Ltd. (NYSE American: ORLA) announced a definitive arrangement agreement for Equinox to acquire all outstanding Orla shares through a court-approved plan of arrangement. The combined company will retain the Equinox Gold name and is expected to produce approximately 1.1 million ounces of gold annually with an implied market capitalization of $18.5 billion.

Under the transaction terms, Orla shareholders will receive 1.00 Equinox common share plus a nominal cash payment of $0.0001 for each Orla share held. Upon completion, existing Equinox shareholders will own approximately 67% of the combined company, while former Orla shareholders will hold 33% on a fully diluted basis.

The merger creates a portfolio of six North American mines anchored by three Canadian operations: Equinox's Greenstone mine in Ontario and Valentine mine in Newfoundland & Labrador, plus Orla's Musselwhite mine in Ontario. These Canadian assets are expected to collectively produce 685,000 ounces of gold in 2026, making the combined entity the second-largest producer of Canadian gold.

The companies project annual production growth to more than 1.9 million ounces through expansion projects including Valentine phase 2, South Railroad, Castle Mountain, Los Filos, and Camino Rojo underground. Combined mineral reserves total approximately 23 million ounces of proven and probable reserves.

The transaction requires approval by 66⅔% of Orla shareholders and a simple majority of Equinox shareholders at special meetings expected in July 2026. The deal is also subject to regulatory approvals in Canada and Mexico, stock exchange approvals, and other customary closing conditions. Completion is anticipated in Q3 2026.

Break fees of $475 million and $250 million are payable by Equinox and Orla respectively in certain circumstances. Officers and directors holding approximately 20% of outstanding Orla shares and 4% of Equinox shares have agreed to vote in favor of the transaction.