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New bid prices Guyana Goldfields 35% higher than Silvercorp offer

Kitco News

Guyana Goldfields (TSX:GUY) said today it received a proposal from a "foreign-based multinational mining company" priced at C$1.85 per share.

Silvercorp Metals had an offer on the table at C$1.30 as of mid-May. The new offer values Guyana Goldfields at C$323 million. Guyana said the new offer represents a premium of approximately 35% over what Silvercorp was offering.

Guyana said Silvercorp has a five-day matching period to meet the offer.

Guyana Goldfields Inc. is a Canadian based mid-tier gold producer operating in Guyana, South America. It's Aurora Gold Mine reached production in 2016, and is guiding to 145,000-160,000 gold ounces in 2019.

The company began the year at 69 cents.

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