BRIEF: SolGold agrees to be acquired after Jiangxi Copper raises its bid price
The board of gold and copper miner SolGold Plc (SOLG.L) agreed to recommend an offer to sell the company to Jiangxi Copper Co. Ltd. (0358.HK; 600362.SH), reversing its earlier position, after the Chinese company raised a previous offer by 7.7%.
Under the revised offer, Jiangxi Copper agreed to pay 28 pence ($0.38) per share in cash for the remaining 88% stake it doesn’t already own of SolGold Plc, Jiangxi Copper said in a Hong Kong Stock Exchange filing on Monday. The company previously offered to buy the shares for 26 pence apiece, but that offer was rejected by SolGold’s board. Jiangxi Copper said the revised deal will cost it up to 764 million pounds ($1.03 billion).
Jiangxi Copper’s Hong Kong-listed stock rose 6.5% on Monday to close at HK$39.66, while its Shanghai-listed shares rose 1.4% to close at 48.99 yuan. The Shanghai-listed stock has more than doubled this year, while the Hong Kong-listed stock has more than tripled on broader rallies for gold and copper stocks. SolGold shares were up 7.6% at 27.6 pence in early Monday trading in London.
By Doug Young
To subscribe to Bamboo Works free weekly newsletter, click here
Related Articles
RELATED ARTICLES
-
BRIEF: Jiangxi Copper offers to buy out SolGold for $905 million
0358.HK600362.SHG -
Chifeng Gold chases new glitter in rare earths
6693.HK600988.SHG
- Zijin Gold offers new glitter for global gold investors
-
Gold’s bull market lifts Zhaojin to more shiny earnings
1818.HK
- Trendy jewelry maker CHJ joins Hong Kong IPO ‘gold rush’
-
Investor gold rush burnishes profits at Zhaojin Mining
1818.HK
-
BRIEF: CATL halts lithium production at Jiangxi mine
3750.HK300750.SHE
