Ramelius ends discussions with Karora

Gold producer Ramelius Resources has confirmed it will not pursue a merger with Toronto-listed Karora Resources.

Earlier this month, ASX-listed Ramelius was subjected to pockets of media speculation, indicating it was close to finalising a deal.

The Mark Zeptner-led company responded on March 8, telling the market there was no certainty that the discussions would led to a transaction - along with providing additional clarification surrounding Karora's actual market cap value.

"Following its usual disciplined due diligence process, Ramelius advises that no final agreement, including on value, was reached and that discussions with Karora regarding a potential corporate transaction have concluded," the company said on Thursday.

Following Ramelius' market update, Karora told its shareholders it had begun negotiations with a new third party in regard to a potential merger, however would not be making further comment regarding the discussions until a definitive agreement had been realised. 

Ramelius enters the second half of the 2024 financial year in a good position, on the back of its net profit after tax climbing by 42 per cent, from $29.1 million to $41.2 million, up until December 31 2023.

Earlier this year, the East Perth-based company also raised its annual production guidance for the 2024 financial year to 265,000-280,000 ounces of gold. 

As of 9.11am AWST, Ramelius was trading at $1.82 per share, up 1 per cent.