Augusta agrees to revised HudBay takeover offer

June 23 Mon Jun 23, 2014 7:10am EDT

June 23 (Reuters) - Augusta Resource Corp said it agreed to be bought by HudBay Minerals Inc after the company raised its offer to buy Augusta shares it does not already own.

The revised offer values Augusta at about C$555 million ($511 million), HudBay said. HudBay owns about 16 percent of Augusta.

Under the offer, Augusta shareholders will receive 0.17 of a warrant to buy one HudBay share for each Augusta share in addition to the original offer of 0.315 HudBay shares per Augusta share.

The offer price of about C$3.56 per Augusta common share represents a premium of about 11 percent to Augusta's Friday close on the Toronto Stock Exchange. ($1 = 1.0853 Canadian Dollars) (Reporting by Ashutosh Pandey in Bangalore; Editing by Saumyadeb Chakrabarty)

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