DOW JONES NEWSWIRES
Meridian Gold Inc.'s (MDG) board is recommending that shareholders reject the amended takeover offer by Yamana Gold Inc. (AUY).
The Reno, Nev. mining company said the higher offer "still falls short." It noted that the 85-Canadian-cent increase in the cash portion of the offer represents only a 2.9% increase in the total consideration.
It said it has opinions from its financial advisers, BMO Capital Markets and Goldman, Sachs & Co., to the effect that the consideration offered under the amended Yamana offer was inadequate, from a financial point of view, to Meridian Gold shareholders.
As reported, Yamana is offering 2.235 shares plus C$4 for each Meridian share.
-John Moritsugu, 416-306-2100; AskNewswires@dowjones.com > Dow Jones Newswires
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