Jan 14 Canadian miner Alamos Gold Inc
said it will buy Aurizon Mines Ltd for about C$780
million ($792.96 million) in cash and stock to get access to
Aurizon's only operating gold mine, Casa Berardi, in northern
Casa Berardi has produced 803,000 ounces of gold from
November 2006 until December 2011, according to Aurizon's
British Columbia-based Aurizon has eight properties in
Quebec, which include an advanced-stage gold development
property of the Heva and Hosco West Extension areas.
Alamos, which owns and operates the Mulatos mine in Mexico,
has offered to buy Aurizon for C$4.65 per share, representing a
premium of 36 percent to Aurizon's Friday closing price of
C$3.41 on the Toronto Stock Exchange.
The combined entity is expected to have an estimated market
value of about C$2.6 billion, Alamos said in a statement.
Alamos, which has been acquiring Aurizon shares over the
past few days, said it now owns 26.5 million Aurizon shares,
representing more than 16 percent of the issued and outstanding
Alamos said that the takeover offer, which will be open for
acceptance for at least 35 days following the mailing of the
take-over bid circular, will be fully financed and will not
require approval by its shareholders.
Dundee Capital Markets advised Alamos on the deal.