Barrick Extends $1.5B Offer for NovaGold, Agnico-Eagle Purchases Units in Continuum Resources

Strategic Insights -

Barrick Gold Corp. has extended its $1.5-billion hostile takeover bid for NovaGold Resources Inc. until October 12, despite NovaGold waiving its shareholder rights plan in an attempt to reject the offer. The move comes as Goldcorp Inc. founder Rob McEwen launches a proxy battle to force a shareholder vote on the company's $8.6-billion friendly bid for Glamis Gold Ltd. Meanwhile, Agnico-Eagle Mines Limited has purchased an additional 2,340,500 units of Continuum Resources Ltd. for $585,125, further expanding its stake in the company.

Key Takeaways:

  • Barrick's $1.5-billion hostile takeover bid for NovaGold Resources Inc. has been extended until October 12.
  • NovaGold waived its shareholder rights plan in an attempt to reject the offer, but Barrick is pressing on with its bid.
  • Rob McEwen, founder of Goldcorp Inc., has launched a proxy battle to force a shareholder vote on the company's $8.6-billion friendly bid for Glamis Gold Ltd.
  • Agnico-Eagle Mines Limited has expanded its stake in Continuum Resources Ltd. with the purchase of 2,340,500 additional units for $585,125.
  • Wineco Productions Inc. has entered into negotiations with a New York-based hedge fund for the development of Mineral Mountain.
  • Wineco's testing of the tailings and surpluses from Mineral Mountain Mining have resulted in significant shows of copper, chromium, and gold.

Statistics:

  • $1.5 billion: The value of Barrick's hostile takeover bid for NovaGold Resources Inc.
  • $8.6 billion: The value of Goldcorp Inc.'s friendly bid for Glamis Gold Ltd.
  • 100%: The stake Agnico-Eagle Mines Limited now holds in Continuum Resources Ltd. (6,605,500 common shares and 4,810,250 warrants)
  • $585,125: The amount Agnico-Eagle Mines Limited paid for 2,340,500 additional units of Continuum Resources Ltd.
  • $0.25: The price per warrant for each of the newly purchased share purchase warrants in Continuum Resources Ltd.

Sources:

  • U.S. Equity News ("Gold industry alert provided by U.S. Equity News.")
  • Barrick Gold Corp.
  • NovaGold Resources Inc.
  • Goldcorp Inc.
  • Agnico-Eagle Mines Limited
  • Continuum Resources Ltd.
  • Wineco Productions Inc.
  • M2 Communications Ltd (Press release)