MELBOURNE, Australia – Global miner Rio Tinto PLC said Wednesday enough Hathor Exploration Ltd. shareholders have tendered to its $654-million offer for the deal to be completed.
Rio Tinto says more than 70 per cent of Hathor’s shares were tendered to its $4.70-per-share offer, and all necessary conditions for the transaction to go ahead have been met.
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Nonetheless, Rio Tinto extended offer, which was set to expire Wednesday, until Dec. 12 to give the rest of Hathor’s (TSX:HAT) shareholders enough time to tender.
The Rio Tinto (NYSE:RIO) offer has the unanimous backing of Vancouver-based Hathor’s board.
Earlier this week, rival bidder Cameco Corp. (TSX:CCO) let its $625-million, or $4.50 per share, hostile offer for Hathor lapse. The Saskatoon-based uranium giant said it couldn’t justify raising its offer, and that walking away was in the best interest of its shareholders.
Both Rio Tinto and Cameco coveted Hathor’s Roughrider uranium deposit in northern Saskatchewan.
There has been scuttlebutt that Rio Tinto and Cameco could join forces to develop Roughrider, though analysts have expressed doubt over either company would be interested in such an arrangement.
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