Boston, MA 04\/17\/2014 (wallstreetpr) –\u00a0Goldcorp Inc. (USA) <\/b>(NYSE:GG)<\/b> efforts to takeover Canada based Osisko Mining Corp. (TSE:OSK) may yield no results as Osisko has reached an agreement with Yamana Gold Inc. and Agnico Eagles Mines Ltd to sell most of its assets. The friendly deal between the three Canadian companies comes amidst a hostile takeover attempt by Goldcorp to acquire Osisko\u2019s assets. The deal would be put to vote to Osisko\u2019s shareholders in May and would require a two-third majority to be passed.<\/p>\n
New deal offers 11% premium over Goldcorp\u2019s offer<\/b><\/p>\n
As per the agreement, Yamana and Agnico would pay $7.42 per Goldcorp Inc. (USA) (NYSE:GG)\u2019s share, translating into a total deal amount of $3.55 Billion. The current deal price implies an 11% premium over the revised offer announced by Goldcorp last week. Osisko\u2019s board of directors has recommended the new deal to its shareholders.<\/p>\n
Osisko\u2019s management believes that the new deal, which is comparatively much simpler than the earlier proposed deal will be able to win the confidence of shareholders. As per the deal, Yamana and Agnico will gain a 50% right over Osisko\u2019s current assets. Osisko would receive royalties in addition to some assets, in Mexico. Osisko shareholders will receive 0.26471 of Yamana share, 0.07264 of Agnico Eagle share in addition to C$2.09. They would also receive one share each of the new Osisko entity.<\/p>\n
The earlier deal involved Yamana purchasing 50% of Osisko\u2019s assets, while Canada Pension Plan Investment Board (CPPIB) and Caisse de depot et placement du Quebec were required to infuse cash into the company.<\/p>\n
Joint operations at Malartic Mine<\/b><\/p>\n
Post the deal, Yamana and Agnico will operate the Canadian Malartic mine in a joint manner. Goldcorp Inc. (USA) (NYSE:GG)\u2019s Malartic mine is seen as the prime reason for Goldcorp\u2019s aggressive takeover bid. The mine, located in a low political risk region is capable of producing around 500K ounce of gold every year in a 16 year mine-life.<\/p>\n","protected":false},"excerpt":{"rendered":"
Boston, MA 04\/17\/2014 (wallstreetpr) –\u00a0Goldcorp Inc. (USA) (NYSE:GG) efforts to takeover Canada based Osisko Mining Corp. (TSE:OSK) may yield no results as Osisko has reached […]<\/p>\n","protected":false},"author":12,"featured_media":19771,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"twitter_2902945987_2902945987":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[2236],"tags":[3805,3806],"stock_ticker":[],"class_list":["post-19770","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-goldcorp-inc-usa-nysegg","tag-nysegg","entry"],"acf":[],"yoast_head":"\n