LIMA, April 17 Peruvian miner Milpo (MIL.LM)
(MILi.LM) said a second takeover offer from Brazil's Votorantim
still undervalues its share price.
In a letter on the web site of Peru's securities regulator
on Thursday, Milpo said its board of directors "maintains the
position" expressed earlier this month that urged shareholders
to consider the miner's outlook and performance before
participating in the public offer.
"The board of directors at Milpo maintains the position
expressed in the report sent April 4," said the letter.
On April 4, Milpo said "Investors should know that Milpo's
current share price is higher than the price that was
Last week, Votorantim raised its offer to up to $490
million, or $3.33 a share, up from initial offer to pay up to
$422, or $2.87 a share.
On Thursday, Milpo's shares were trading at 9.65 soles
($3.55) on Lima's stock exchange.
If the offer is successful, Votorantim, the world's third
largest zinc producer, would own 51 percent of the Milpo's
circulating shares, giving it effective control of the
Milpo, which produces zinc, iron and copper, says it runs
some of the lowest-cost mines in the world and has large
($1 = 2.71)
(Reporting by Teresa Cespedes; Writing by Dana Ford; Editing
by Marguerita Choy)