Thursday 19 December 2019 3:06 pm

Endeavour hits back at Centamin over stalling claims

Canadian miner Endeavour has hit back at takeover target Centamin over claims that it was stalling the sharing of information crucial to its proposed all-share merger.

In a statement, Endeavour said that “the nature of the interaction from Centamin continues to suggest that it is unwilling to explore meaningfully the potential benefits of a merger.”

Read more: Centamin says Endeavour is stalling in mining merger talks

It added that it had “sought constructive engagement” and “made a number of concessions in good faith” in order to progress the deal.

Endeavour concluded by urging the London-listed firm to consent to extending the offer deadline until 31 January so that the necessary due diligence could be completed.

Yesterday Centamin had said the Canadian firm had said it would not provide the information regarding its value until the extension was granted.

Under English takeover law, Endeavour has until 31 December to make a firm offer for the gold miner’s assets.

At the beginning of the month Centamin’s board unanimously rejected an all-share offer worth £1.47bn from the Canadian firm.

The proposal offered a premium of 13 per cent for each of the Jersey-headquartered firm’s shares.

At the time the firm said the terms of Endeavour’s proposal provided comparatively greater benefit to Endeavour’s shareholders, and did not adequately reflect the contribution that Centamin would make to the merged entity.

It added it believed it is better positioned to deliver shareholder returns than the combined entity.

Read more: Centamin rejects £1.5bn buyout proposal

Endeavour has been trying to engage with the firm since October 2018, when its initial overtures were rejected within 24 hours.

Shares in Centamin fell over two per cent today. The stock surged 15 per cent when Endeavour initially revealed the proposal.

Centamin declined to comment.

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