Lundin has no plan to amend Nevsun offer

7th September 2018 By: Tasneem Bulbulia - Senior Contributing Editor Online

Canadian firm Lundin Mining has announced that it would not amend its bid for all of the issued and outstanding shares of fellow Canadian miner Nevsun Resources.

This comes after Nevsun earlier this week agreed to a friendly C$1.86-billion takeover by Zijin Mining, trumping Lundin's hostile C$1.4-billion takeover bid of July 26.

Lundin’s bid expires on November 7. 

Zijin will pay shareholders C$6 a share in cash, representing a 57% premium over the company’s closing price of C$3.82 a share on May 7 and beating Lundin’s C$4.75 a share bid. 

Nevsun’s board had rejected the bid from Lundin on the grounds that it ignored the value of the company’s assets, particularly the value of the Timok copper/gold project in Serbia.

In a statement, Lundin said that despite its decision not to counter Zinjin’s offer, it remained committed to pursuing strategic growth opportunities, with its portfolio of high-quality, longlife, mines and financial strength as arsenal.