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Aurizon Mines (AZK) says its board considers Alamos Gold's (AGI) $780M takeover offer...

  • Wednesday, January 23, 9:28 AM ET
    Aurizon Mines (AZK) says its board considers Alamos Gold's (AGI) $780M takeover offer "financially inadequate and opportunistic" and recommends shareholders reject the hostile bid. The offer is "timed to take advantage of a transition year for Aurizon that we believe will be the foundation of long-term value creation for our shareholders," AZK says.
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This news story has 2 comments:

  •  
    Economist Have to go with the board! GO BREWERS!!!!
    23 Jan, 09:32 AM Reply Like
  •  
    As always, what this really means is:
    "We expect Alamos Gold to raise its takeover offer so we can re-consider and possibly agree to it"...
    My guess is that something around $1.25bn, or around $7.70 per share, should seal the deal. This was the highest-ever market cap/price share of AZK so I assume that such an offer - though generous - would be accepted by the AZK's board.
    Even at $7.70 per share the PE would be around 26 = not massively overvalued and if AZK's board message is true then
    Alamos Gold may "take advantage of a transition year for Aurizon that will be the foundation of long-term value creation for shareholders". Lets wait and see. I suspect another-better offer
    23 Jan, 11:46 AM Reply Like
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