Osisko formally rejects Goldcorp's hostile takeover offer

|About: Osisko Mng Inc (OBNNF)|By:, SA News Editor

Osisko Mining (OSKFF) is recommending shareholders reject Goldcorp's (GG) C$2.6B hostile takeover offer, saying it "significantly undervalues" its assets, including its flagship Canadian Malartic gold mine in Quebec.

Analysts have suggested that GG will have to raise its offer if it wants to close the deal, and Osisko has traded well above the $5.95/share implied value of the offer since the stock-and-cash proposal was first announced last Monday; shares closed at $6.47 in Toronto yesterday.