Impact: Mildly Positive
Gran Colombia (GCM) released its Q4/20 (and FY20) financial results that were a slight miss to our estimates largely due to non-cash losses on derivative financial instruments as well as financing and transaction costs. However, GCM finished 2020 with a strong balance sheet, and is primed to conduct an extensive drill campaign at Segovia (read more) and complete the Gold X (TSXV:GLDX, Not Rated) acquisition (read more). The company also released an updated mineral reserve and resource estimate that extended our LOM estimate. In our view, GCM finished 2020 in a strong financial position and is poised to successfully execute on its Latin American growth vision in 2021.