Eldorado Gold (EGO +1.1%) withdraws its bid for Andean Resources (ANDPF.PK) in light of Goldcorp's (GG -1.7%) higher $3.43B offer. Eldorado says its shareholders were concerned about the company entering into a "value-destroying auction" process.
Goldcorp's (GG) purchase of Andean Resources (ANDPF.PK) is a blow to Eldorado Gold (EGO), which had offered C$3.4B to buy Andean. It also adds to this year's record pace of gold mining takeovers as producers discover less of the metal while prices keep advancing.
Goldcorp (GG) agrees to pay C$3.6B ($3.4B) for all the outstanding shares of Australia's Andean Resources (ANDPF.PK), representing a 35% premium to Andean's closing price yesterday in Toronto. Andean, which trades in Toronto and Sydney, jumped 31% in Australia. (PR)