BGF

Lihir Gold and Ballarat Goldfields Merger


Lihir Gold have proposed to acquire and merge with Ballarat Goldfields through the following scheme: Lihir (LHG) is offering 5 shares for every 54 Ballarat Goldfields (BGF) shares. The deal equates to some 28.8 cents per share and a value of $350 million. The merger offer on the table is a 28 percent premium to the last traded price for Ballarat Goldfields. BGF directors have recommended the proposal. Ballarat is developing the Ballarat East deposit, and a recent development plan change required funding of $120m.

Loser: Ballarat Goldfields (BGF)


The stock with the worst performance this week was Ballarat Goldfields (BGF). The Loser of week 36 of 2006 was down 20 percent after results as well as after releasing a new mine plan.

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