Inmet updates on Panama copper project; shares jump
Wednesday, March 31 2010 @ 05:31 PM UTC
Contributed by: Don Winner
TEMASEK DEAL: Separately, Inmet said it will sell about 9.3 million subscription receipts, priced at about C$54 per receipt to Ellington Investments Pte, an indirect wholly owned subsidiary of Temasek, and expects the deal to be completed by the end of April. On completion of certain conditions, the subscription receipts will be exchanged for an equal number of Inmet's common shares and the funds, to be held in escrow by CIBC Mellon Trust Co, will be released to Inmet. Following exchange of the receipts, Ellington and Inmet will enter into an investor rights agreement, under which Temasek unit will be entitled to name its nominee to Inmet board, the company said in a statement. Shares of Inmet were up about 8 percent at C$59.77 in midday trade Wednesday on the Toronto Stock Exchange. They hit a high of C$60.44 earlier in the day. ($1=1.019 Canadian Dollar) (Reporting by Ashutosh Joshi in Bangalore; Editing by Unnikrishnan Nair)
Editor's Comment: Good for Panama. Inmet raises the money and then spends it here to develop the mine. Absolutely wonderful news, economically speaking.