Barrick Gold sells majority stake in China's Shandong for $210 million

FILE PHOTO: Souvenir luggage tags are displayed at a Barrick Gold Corp at the Prospectors and Developers Association of Canada (PDAC) annual conference in Toronto, Ontario, Canada March 1, 2020. REUTERS/Chris Helgren/File Photo

(Reuters) - Canadian gold producer Barrick Gold ABX.TO said on Tuesday it sold a partial stake in Shandong Gold Mining Co 600547.SS for $210 million, profiting off a rise in share price of the Chinese gold miner.

Gold stocks have been steadily rising since the coronavirus outbreak battered equity markets across the globe and sent investors scurrying for safe-haven assets.

Barrick said it sold the majority stake, 79.3 million shares of Shandong to institutional shareholders, at HK$20.50 ($2.65) per share. It now holds a stake of about 2%.

Both companies have been partners in the Veladero mine in Argentina. Barrick sold a 50% interest in the mine to Shandong for $960 million in 2017.

At one point, the companies were here looking to deepen their cooperation beyond the Argentinian joint venture and had said they would potentially work together on acquisitions.

Reporting by Taru Jain; Editing by Shinjini Ganguli