Canadian Mining Journal

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TAKEOVER: Breakwater agrees to Nyrstar offer

TORONTO - The directors of Toronto-based Breakwater Resources have approved an all-cash takeover of their firm by Nyrstar NV. Nyrstar is a global multi-metals business that produces zinc, lead, silver, gold and copper; it is headquartered in...



TORONTO – The directors of Toronto-based Breakwater Resources have approved an all-cash takeover of their firm by Nyrstar NV. Nyrstar is a global multi-metals business that produces zinc, lead, silver, gold and copper; it is headquartered in Belgium (www.Nyrstar.com).

Each Breakwater shareholder will receive $7.00 in cash. They will also receive a special dividend of $0.50 the day before the transaction closes. The total value of both transactions is $663 million on a fully diluted basis.

Breakwater (www.Breakwater.ca) produces zinc, copper, lead and precious metals at the Myra Falls operation in British Columbia, the Mochito mine in Honduras and the Toqui mine in Chile. It is also preparing to reopen the Langlois zinc-copper mine in Quebec early in 2012.

Breakwater’s directors’ circular and Nyrstar’s takeover bid circular are expected to be mailed to shareholders and subsequently filed on SEDAR at www.SEDAR.com shortly. The Nyrstar offer will be open for acceptance for a period of not less than 35 days from its commencement