Gold Fields, Silver Standard withdraw offer for Kirkland Lake

Paying Social Media Jobs
A worker inspects a new hoist installed at Kirkland Lake Gold's operations in the town of Kirkland Lake, Ontario, Canada October 4, 2011. REUTERS/Euan Rocha/File Photo
Social sharing

(Reuters) – Gold Fields Ltd and Silver Standard Resources Inc withdrew their offer to buy Kirkland Lake Gold Inc after the Canadian miner asked its shareholders to vote in favor of its takeover bid for Australia’s Newmarket Gold Inc.

Kirkland had confirmed a Reuters report last week that South Africa’s Gold Fields and Canada’s Silver Standard had made three joint bids for the company and recently sweetened their offer to about C$1.4 billion ($1.04 billion).

Gold Fields said on Friday it would pursue negotiations with Kirkland if the miner’s shareholders rejected the Newmarket transaction.

Some Kirkland shareholders had said on Wednesday that they wanted the company to resume talks with the two entities, arguing that it was too hasty in rejecting their bid.

Shareholders also want Kirkland to disclose more details on the joint bid from Gold Fields and Silver Standard so that they can weigh it against the company’s proposed C$1 billion takeover offer for Newmarket Gold.

The Newmarket Gold transaction is somewhat of an outlier as gold mining executives say the rising price of bullion has made acquisitions costlier for a sector focused on financial discipline.

Results of the shareholder vote on Kirkland Lake’s potential deal to buy Newmarket are due on Nov. 25.

Kirkland Lake’s shares were down nearly 4 percent at C$7.65.

($1 = 1.3495 Canadian dollars)

(Reporting by Vishaka George in Bengaluru; Editing by Shounak Dasgupta and Anil D’Silva)

 

Leave your comment on this post
READ ALSO  Indian state bans social media
About 9News Nigeria 10921 Articles
9News Nigeria is Nigeria's favourite news source. For Authentic, Unbiased News on Politics, Business, Sports, Technology, Entertainment and Lifestyles, Health, Nollywood, Crime and Investigations, Family and Relationships, Inspirations .. and much more. For Latest News from Africa and around the world, 9News Nigeria is your best source. WhatsApp +2348115805632 Email: info@9newsng.com Facebook: www.facebook.com/9NewsNG | Twitter/Instagram: @9newsng

Be the first to comment

Leave your comment

Paying Social Media Jobs
Paying Social Media Jobs
Paying Social Media Jobs