oui cette affaire devient tres amusante !
ils baissent leur % de 75 à 50.1 % ET en plus ils achétent tout ce qui se présentera à 16$ maxi .. sans etre certains d'obtenir les 50.1%
commentaires by courtoisy of midas
The NovaGold/Barrick saga continues to play out. Little by little the Nova side continues to gain ground. From GATA’s Wistar Holt:
(Looks like ABX has placed a "floor" of $16 on the stock, eliminating the potential threat that they would walk away from the deal. Thus, they keep the 22% at $16 and will have to continue to pay more than that for additional stock. Thus, the risk to shareholders has suddenly become greatly reduced, thus the instant rally above $16 this morning....W
PRESS RELEASE: NovaGold Comments On Barrick's Decision To Waive Minimum Tender Condition>NG.T [GNFQPJT]
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 10, 2006) - NovaGold Resources Inc. (TSX:NG)(AMEX:NG) responded today to the decision by Barrick Gold Corporation (TSX:ABX)(NYSE:ABX) to waive the minimum tender condition of its hostile takeover bid for NovaGold. Barrick's originally announced condition to obtain at least 75% of NovaGold's fully diluted shares was reduced to at least 50.1%, with the recognition that NovaGold's management and directors along with its largest shareholders hold over 40% of NovaGold's shares on a fully diluted basis. After the recent weak response to Barrick's latest "best and final" November 7, 2006 deadline, Barrick has announced that it will take up any shares that are tendered to it at US$16 per share on November 21, 2006.
"It appears clear that in waiving the 50.1% minimum condition, Barrick is acknowledging that they will not gain a controlling interest in NovaGold through this undervalued bid. Barrick seems to now agree with our other shareholders that at US$16, NovaGold shares are better than money in the bank," said Rick Van Nieuwenhuyse, President and CEO of NovaGold. "The current bid level still represents a discount to NovaGold's pre-bid trading price highs. NovaGold shareholders have overwhelmingly rejected Barrick's bid over almost four months and five extensions as completely inadequate for NovaGold's world-class assets and huge potential value from successful development of its projects.
"Waiving the minimum tender condition means Barrick is prepared to pay US$16 per share, without gaining control of NovaGold. This confirms the view of NovaGold's Board that the bid price does not include an adequate control premium," Mr. Van Nieuwenhuyse continued. "With the recent rebound in gold prices since the July and October lows, and the substantial progress on all of NovaGold's projects, Barrick's US$16 per share bid may now represent a floor for NovaGold's share
I don’t know if you can use this but I just have to say this to all your readers if you decide to print this. I can’t help myself as this stuff excites me.
NovaGold today is a better buy than at anytime in it short history in my opinion. Why?
ABX will take all shares tendered, so as I write you have .16 cents in downside and Blue Sky ahead. With Nova again trading above the bid you can assume that shareholders that tendered will withdraw the tendered shares. Leaving ABX with none again.
They have cash and two series of warrants that are in the money >$200,000,000. with production starting in May 2007.
In a world that companies are paying $80-$120 an oz gold in the ground as far away as the DRC and Ecuador, without 43-101 reports, Nova is cheap at $34 or $19.00 converting the copper.
You get 17% of US GOLD (USGL) down from $10.00 with a big land package in Nevada right below their own ground (ABX)
Donlin Creek deadline looming in one year, with rumored reports that there is >40,000,000 ozs,if ABX loses that 40% of the gold not being included it is worth 12 more dollars per share (I think but don’t know)
Adding ozs at Ambler, Nome, and Galore, who know what else they are working on. They own a good piece of Alexco that made a new high today.
Again when can you buy a company with downside protection and big upside? My guess is we will see a percent of an ABX share like the Lac Minerals Takeover before this is all over. Like .8 for one or 1for 1. Barrick has to get control of Donlin.
Why did they buy Placer for the hedge book? Because they have sold many of the Placer Assets, the big Blue-sky is Donlin. (Remember Placer hedged as a copy cat strategy to Barrick back in the dark years, because Barrick did it. Institutions demanded Placer to do it) Donlin has 9km of ground above Acma and Lewis pits that is sparely drilled. ABX stopped exploration drilling after a big hole at Donlin…Why
People said AUR was overpriced at 16 now 39 and they are exploring and depend on exploration success or a takeover to continue growing the share price. Nova has all that and 43-101 reports.
You get about ½ oz of gold per Nova share if AUR has 10,000,000 ozs that is about a 1/3 of an oz. per share in Ecuador which is not North America.
I wrote this in a hurry with good intentions for café readers I own some Nova Shares and warrants and so do clients, but I don’t move markets. I am sure I have forgotten other great reasons.
Have a great weekend and all the best
Thanks John, agree. http://www.lemetropolecafe.com