Toronto-based Inmet Mining Corp. (TSX:IMN) has made an unsolicited offer to acquire Vancouver's Petaquilla Copper Ltd. (TSX:PTC) for $321.5 million.
Inmet is offering $2 for each Petaquilla share, which represents a 108% premium to the closing price of Petaquilla shares on July 4, although, Petaquilla shares have been trading between $1.94 and $1.97 since July 7.
On July 5, certain institutional investors of Petaquilla agreed to tender 15.1 million shares to the offer, representing 9.38% of Petaquilla's total shares outstanding.
Petaquilla has set up a special committee of independent directors to review the proposed deal. It's asked shareholders to not take any action until the committee has made its recommendation, expected on or before August 12.
Petaquilla's share price range during the past week: between $1.94 and $1.97; 52-week high: $4.20; 52-week low: $0.83.