With the gold price going ballistic, the odds are increasing that we'll see more ASX gold shares targeted for takeover in the year ahead.
While that may sound ominous, it's usually good news for shareholders.
If you've ever owned a stock that was subject to a takeover bid, you'll know that the offer tends to be above the current share price. And that following negotiations, a potentially even sweeter offer may land on the table.
It doesn't always work out that way. And deals aren't always reached. Like the XRG consortium's recent last-minute withdrawal of its US$30 billion bid for Santos Ltd (ASX: STO) shares, for example.
But when acquisitions do go through, it tends to favour existing shareholders.
Which brings us to two ASX gold shares recently highlighted as prime takeover targets by Argonaut's executive chairman and co-founder, Eddie Rigg.
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ASX gold shares primed for acquisition
Rigg bases his expectations for more mergers and acquisitions for the developing ASX gold shares on the surging gold price.
Gold is currently trading for US$3,856.79 per ounce, according to data from Bloomberg. That's less than US$10 per ounce below Wednesday's new all-time high gold price. And it sees the yellow metal up a blistering 45.1% since this time last year.
And Argonaut believes the gold bull run has a long way to run yet.
Earlier this week, Argonaut lifted its gold price forecast to US$4,500 per ounce. That's almost 17% above the current gold price.
And with the big ASX gold miners booking record profits and flush with cash, Rigg believes they'll be on the hunt for new assets.
"Not many of the developers will get to develop their assets because the gold mining companies have so much free cash that they will go and buy these developers in a heartbeat," he said.
And he named two ASX gold shares that he thinks are "absolute targets".
"Companies like Minerals 260 Ltd (ASX: MI6) and Ballard Mining Ltd (ASX: BM1). They are absolute targets," he said.
How have these gold miners been performing?
Both Minerals 260 and Ballard Mining have handsomely rewarded shareholders already in 2025.
How handsomely?
Well, the Ballard Mining share price is up 85% year to date, and the Mineral 260 share price has rocketed 100%, smashing the 10% returns delivered by the All Ordinaries Index (ASX: XAO) over this same period.
And if they find themselves the subject of takeover negotiations, as Rigg expects, these ASX gold shares could keep charging higher.
