Goldcorp to buy Andean Resources for $3.42B; will get access to Cerro Negro gold project
By APFriday, September 3, 2010
Goldcorp to buy Andean Resources for $3.42 billion
NEW YORK — Canada’s Goldcorp Inc. says it has agreed to buy Andean Resources Ltd. for about 3.6 billion Canadian dollars ($3.42 billion).
The acquisition would give the Canadian gold producer access to Andean’s Cerro Negro gold project in Argentina, wich is said to have a significant amount of gold and silver.
The deal has been approved by both companies’ boards. They expect it to close later this year or in early 2011.
Under terms of the deal, each Andean common share will be exchanged for 0.14 Goldcorp shares or a cash payment in the amount of 6.50 Canadian dollars ($6.17) per share.
The maximum cash consideration will be 1 billion Canadian dollars ($948.6 million).
Shareholders can choose stock, cash or a combination of the two.
