Nevsun Resources rejects C$1.5 bln offer from Lundin Mining, Euro Sun

Euro Sun Mining

08/05/2018 01:02

May 7 (Reuters) - Canadian miners Lundin Mining Corp
 LUN.TO  and Euro Sun Mining Inc  ESM.TO  disclosed on Monday an
offer made earlier to buy base metals company Nevsun Resources
Ltd  NSU.TO , which rejected the C$1.5 billion ($1.16 billion)
proposal.
    Under the terms of the offer dated April 30, Nevsun
shareholders were to receive a total consideration of C$5 per
Nevsun share including C$2 in cash funded by Lundin Mining, C$2
in shares of Lundin Mining and C$1 in shares of Euro Sun, Lundin
Mining and Euro Sun said in a joint statement.
    Vancouver-based Nevsun rejected the offer on Monday, the
statement added.
    "After months of attempting to reach an agreement, we are
disappointed that Nevsun has prevented its shareholders from
considering our premium proposals," the companies said, adding
that they remain committed to negotiating a deal with Nevsun. 
    "At this point in time, we believe that all Nevsun
shareholders should be made aware of this opportunity," they
said.
    According to the offer, Lundin Mining was to own Nevsun's
European assets while Euro Sun would own the remainder of the
company.
 ($1 = 1.2880 Canadian dollars)    

 (Reporting by Kanishka Singh in Bengaluru)
 ((Kanishka.Singh@thomsonreuters.com; +91-80-6749-0021))