Goldcorp drops hostile bid for Quebec's Osisko
Vancouver-based Goldcorp Inc. has allowed its bid for Quebec gold miner Osisko Mining Corp. to expire after failing to garner support from shareholders.
Goldcorp announced Wednesday that its hostile offer did not meet its minimum conditions of at least 50.1 per cent of outstanding shares. It also withdrew its nominees for the Osisko board of directors.
Osisko had resisted the deal from the start and courted a rival offer, saying the Goldcorp attempt was a way of getting access to low-cost gold assets through its Canadian Malartic mine.
The Osisko board supported a rival offer worth about $3.9 billion last week from Yamana Gold and Agnico Eagle Mines Ltd., recommending it to shareholders.
The final Goldcorp offer was $2.92 cash and 0.17 of a Goldcorp common share, valuing the company at about $3.6 billion.
The Yamana-Agnico offer includes $2.09 in cash plus 0.26471 of a Yamana share, 0.07264 of an Agnico-Eagle share and one new share of Osisko valued at $1.20 per share.
There will be a joint operating committee for the Malartic mine in Quebec and other projects such as Kirkland Lake and Hammond Reef.
