Genesis Minerals (GMD) investor relations material

Deal rationale and strategic fit

• Merger creates a top three Australian and top 20 global gold producer with 600,000–700,000 oz annual output, consolidating assets in the Leonora-Laverton district and Western Australia, with 100% owned assets and a pro-forma market cap of A$12.6bn.

• Combined group will have 34 million oz in resources and over 9 million oz in reserves, with 86% in the Leonora-Laverton District, providing 15 years of reserve life at 650,000 oz per annum.

• Consolidates highly complementary assets and infrastructure within close proximity, enabling a centralized hub-and-spoke model for operational efficiency and future growth.

• Strategic pairing leverages Vault's peak production and Genesis's growth profile, optimizing asset utilization and future-proofing the portfolio.

• Enhanced scale, liquidity, and index weighting sought by global investors, providing a new vehicle for exposure to Australian gold.

Financial terms and conditions

• Vault shareholders receive 0.7629 new Genesis shares and A$0.475 cash per Vault share, implying a value of A$5.274 per share and a premium of up to 15.7%, with total cash consideration of ~A$500m and pro-forma market cap of ~A$12.6bn.

• Genesis shareholders will own ~59.8% and Vault shareholders ~40.2% of the merged group.

• Pro-forma net cash is A$611m, with A$1.4bn in liquidity.

• Vault will pay a break fee of A$50.7m to Regis due to termination of a prior merger agreement.

• Estimated A$230m in stamp duty, with a tax benefit of around A$500m from asset uplift and depreciation.

Synergies and expected cost savings

• Estimated A$2.0bn in post-tax, undiscounted synergies over 10 years, including A$1.5bn in cost savings from CapEx, OpEx, corporate, and transaction costs.

• Key savings include A$715m in growth capex, corporate cost savings of ~A$120m, and at least A$420m in tax benefits.

• Synergies driven by asset proximity, timing, and operational optimization, especially in Leonora-Laverton.

• Additional unquantified synergies expected from mine scheduling, fleet optimization, shared supply chains, and resource conversion.

• Immediate cost savings provide downside protection in volatile gold price environments.