HudBay Minerals Inc. (
TSX: T.HBM,
Stock Forum) moved Monday to block a shareholder rights plan at
Augusta Resource Corp. (
TSX: T.AZC,
Stock Forum), which the company has made a hostile takeover offer to buy.
HudBay said it has applied to the British Columbia Securities Commission to cease trade the shareholder rights plan,
the company said in a press release.
HudBay wants the BCSC to cease trade the plan prior to the expiry of HudBay’s offer to acquire all the outstanding shares of Augusta not already owned by HudBay. The offer expires at 5:00 p.m., May 5, 2014.
“The time for Augusta shareholders to support our offer is now,’’ said David Garofalo, President and CEO of HudBay.
Augusta shares eased 2.3% to $3.38, leaving a market cap of $491.3 million, based on 145.5 million shares outstanding. The 52-week range is $3.64 and 48 cents.