{"id":709290,"date":"2010-04-05T10:15:00","date_gmt":"2010-04-05T14:15:00","guid":{"rendered":"e2249889-c78b-43e3-9643-b1d7d4aa587b:418934"},"modified":"2010-04-05T10:15:00","modified_gmt":"2010-04-05T14:15:00","slug":"agnico-bid-for-comaplex-could-be-higher","status":"publish","type":"post","link":"https:\/\/mereja.com\/index\/709290","title":{"rendered":"Agnico bid for Comaplex could be higher"},"content":{"rendered":"<p>TD Newcrest analyst Daniel Earle is disappointed with <a href=\"http:\/\/www.financialpost.com\/markets\/company\/index.html?symbol=AEM&amp;id=96764\" >Agnico-Eagle Mines Ltd<\/a>.&#39;s friendly $762-million all-stock bid for <a href=\"http:\/\/www.financialpost.com\/markets\/company\/index.html?symbol=CMF&amp;id=32200\" >Comaplex Minerals Corp<\/a>. The implied valuation of $10.32 a share for Comaplex is significantly below his 12-month price target of $11.50 a share.<\/p>\n<p>To make his point that the offer may be too low, he pointed to Agnico&#39;s 2007 acquisition of Cumberland Resources Inc., which gave it a gold project in Nunavut that is close to Comaplex&#39;s Meliadine deposit. The Cumberland transaction implies a comparable takeover price for Comaplex of $16.30 a share, Mr. Earle wrote in a note to clients.<\/p>\n<p>&quot;We therefore advise shareholders to reject this offer,&quot; he wrote. <\/p>\n<p>He suggested that Agnico could pay more than $18.00 a share and still make this transaction accretive. The question, of course, is whether it will be forced to do that. Mr. Earle said there is a roughly 50-50 chance that a competing bid will be made by a rival company. <\/p>\n<p>On the other hand, fellow TD analyst Greg Barnes wrote that this deal is a good one for Agnico. He estimated that it is paying about 1.17 times net asset value and US$133 per resource ounce for Comaplex, which he said are &quot;reasonable.&quot; He is not surprised with the transaction, given that Agnico already owns 12.3% of Comaplex and is developing the nearby Meadowbank project (which it acquired in the Cumberland deal). <\/p>\n<p>He maintained a &quot;hold&quot; rating on Agnico and a price target of US$67.00 a share.<\/p>\n<p><a href=\"mailto:pkoven@nationalpost.com\">Peter Koven<\/a><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/network.nationalpost.com\/NP\/aggbug.aspx?PostID=418934\" width=\"1\" height=\"1\"><\/p>\n","protected":false},"excerpt":{"rendered":"<p>TD Newcrest analyst Daniel Earle is disappointed with Agnico-Eagle Mines Ltd.&#39;s friendly $762-million all-stock bid for Comaplex Minerals Corp. The implied valuation of $10.32 a share for Comaplex is significantly below his 12-month price target of $11.50 a share. To make his point that the offer may be too low, he pointed to Agnico&#39;s 2007 [&hellip;]<\/p>\n","protected":false},"author":2572,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"advanced_seo_description":"","jetpack_seo_html_title":"","jetpack_seo_noindex":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4821],"tags":[],"class_list":["post-709290","post","type-post","status-publish","format-standard","hentry","category-news"],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9NivD-2Ywa","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/posts\/709290","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/users\/2572"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/comments?post=709290"}],"version-history":[{"count":0,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/posts\/709290\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/media?parent=709290"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/categories?post=709290"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/tags?post=709290"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}