Coeur d’Alene Mines (CDE-N) has again boosted its hostile takeover bid for Wheaton River Minerals (WRM-T). The Idaho-based silver producer is now offering $5.47 in cash, or 0.796 of one of its own shares, for each Wheaton River share.
That’s up from an already sweetened offer of $5, or 0.731 of a share. Still, the overall cash portion of the cash-and-stock bid remains capped at $570 million. In the end, if all of Wheaton’s shareholders decide to take the cash they would receive $1 plus 0.650 of a Coeur share.
Coeur says its revised offer represents a premium of 23% over Wheaton River’s closing share price of $3.76 on June 28, and a 13% premium over the value of the proposed merger with Iamgold (IMG-T).
“We have always believed that Coeur’s offer is extremely compelling for all Wheaton River shareholders from both a strategic and financial perspective,” said Coeur’s chief executive Dennis Wheeler said in a prepared statement. “Our offer includes a significant cash component, and today we are further enhancing the total value of our offer.”
Wheaton and Iamgold previously agreed merge at a rate of 0.55 of an Iamgold share for one Wheaton share. Each will put that plan before shareholders next week. Coeur’s new bid is conditional on Wheaton shareholders rejecting their company’s preferred plan on July 6.
Coeur’s new bid comes on the heels of Golden Star Resources‘ (GSC-T) increased bid for Iamgold. That bid went from 1.15 of its shares for one Iamgold share, to 1.25 shares, or 1.15 shares plus 50, for one Iamgold share.