First Quantum Minerals Ltd T.FM

Potential Barrick bid causing the price spike?

[BlueJay2020]

Barrick Gold Corp. has spoken with some of First Quantum Minerals Ltd.’s major investors to gauge their support for a potential takeover, after the sudden closure of its flagship mine left the Canadian copper producer reeling and wiped out more than half its market value.

Barrick chief executive officer Mark Bristow approached some of First Quantum’s largest investors late last year, according to people familiar with the situation, who asked not to be identified as the talks were private. It wasn’t immediately clear if Barrick has made a fresh approach to First Quantum, and there’s no guarantee it will make a formal offer.

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Gold giant Barrick has been seeking to expand in copper, and a deal with First Quantum would transform the company into one of the world’s biggest producers. The smaller Canadian miner has been left vulnerable after Panama ordered the closure of its biggest and most profitable asset, creating a potential opportunity for Bristow — an industry veteran with a history of building and running mines in challenging locations.

Bristow has been closely monitoring the situation since First Quantum’s problems escalated in October, one of the people said. The CEO has said he is confident that Barrick could resolve the situation in Panama as well as run First Quantum’s African mines, the people said.

First Quantum’s biggest shareholder is the Capital Group with 22%, according to data compiled by Bloomberg. China’s Jiangxi Copper Co. owns 18%, and is among those that have been approached by Barrick, the people said.

Spokespeople for Barrick didn’t respond to requests for comment. First Quantum declined to comment, while Jiangxi didn’t immediately respond to a request for comment outside of regular office hours.

[Runandcoke]

yes popping on this  first reporte on BNN Bloomery earlier this morning nice buy for all those who got in on FM under 10    ABX will offer them cash and stock or all stock combo  I would take all stock in ABX for sure - gold looks great  ABX is getting up off the mat  FM institutional shareholders would likely take ABX paper  ( stil  get upside of Cobre

[Runandcoke]

ABX @ 23 with potential upside on Gold / with deeper pockets / with ability to swap out / modify somehow the debt   I would take stock I am thinking anything from .70 - .8 of ABX share is more than fair  alternative is not so very good !  Canadian instituions will take that everyday of the week 

[Runandcoke]

FM clearly was oversold - tax loss - get it off the funds books by end of the year - 9.31 was free money in retrospect