Phoenix Gold (ASX:PXG) major shareholder Zijin Mining Group Co., Ltd (SHA:601899, HKG:2899) formal takeover bid of $0.10 per share has an uphill climb ahead.
This follows Geologic Resource Partners LLC terminating its pre-bid agreement, reducing Zijin’s relevant interest in Phoenix Gold to 8.91% from 17.9%.Phoenix's largest shareholder Evolution Mining (ASX:EVN) last week made a competing off-market takeover offer that values each PXG share at about $0.1239 with A$0.06 in cash and the rest in equity.
Shares in the company last traded at $0.12 while EVN last traded at $1.062.
Phoenix Gold last Friday advised shareholders to take no action in relation to both offers until it can provide a formal recommendation.
