Site preparation at the Timok project for the start of decline construction. (Image: Nevsun Resources)
VANCOUVER – Vancouver-based Nevsun Resources has agreed to a friendly takeover by Zijin Mining Group of Fujian, China. Zijin is offering an all-cash deal of C$6.00 per share for all the issued and outstanding shares of Nevsun, making the deal worth $1.86 billion.
The price of the Nevsun shares represents a premium of 57% over the company’s closing price on May 8, 2018, the day Lundin Mining announced its intention to take over Nevsun. When the official offer was launched on July 26, 2018, Lundin was offering only $4.75.
Nevsun directors unanimously recommend that shareholders accept the offer from Zijin.
Here is a quick inventory of Nevsun’s assets:
- The producing Bisha copper-zinc-gold mine in Eritrea (60%);
- The development of the Timok copper-gold project in Serbia (100% of the Upper zone and 60.4% of the Lower zone with Freeport-McMoRan Exploration); and
- Exploration projects in Serbia and Macedonia.
Details of the proposed transaction are posted at www.Nevsun.com.