Gold Miner Ramelius to Buy Smaller Australian Rival Spartan (1)

Ramelius Resources Ltd. will buy gold developer Spartan Resources Ltd. in a transaction valuing the smaller Australian producer at A$2.4 billion ($1.5 billion), as miners seek more supply amid soaring bullion prices.

The offer represents an 11.3% premium to Spartan’s closing price on March 14, Ramelius said in a statement on Monday. The value of the takeover deal is about A$1.8 billion, according to Bloomberg calculations.

The agreement will give Ramelius ownership of Spartan’s flagship Dalgaranga gold project in Western Australia. The combined group is set to become a leading Australian producer with overall output rising to more than 500,000 ...