Canex Metals initiates takeover bid for Gold Basin Resources

Canadian junior exploration company Canex Metals has launched a formal takeover bid to acquire all issued and outstanding common shares of Gold Basin Resources.

The offer, detailed in the Offer and Take-Over Bid Circular, has been submitted to Canadian securities regulators and is set to be filed with the US Securities and Exchange Commission.

Under the takeover bid, Gold Basin shareholders are offered 0.592 of a Canex common share for each Gold Basin share held.

In a statement, Canex Metals said: “The offer provides an upfront premium to Gold Basin shareholders and the ability to be part of a consolidated oxide gold district managed by an efficient and professional exploration team with a strong shareholder base and provides a compelling opportunity for liquidity and value for Gold Basin shareholders compared to the status quo.”

The move follows the recent withdrawal of a bid by Mayfair Acquisition, a Canadian company. In March, Mayfair announced its plan to pursue a securities exchange takeover to acquire all issued and outstanding shares of Gold Basin Resources and Canex Metals.

Canex had planned to initiate the offer last month. However, the timeline was adjusted due to the need for a Partial Revocation Order from the British Columbia Securities Commission concerning a Cease Trade Order on Gold Basin. Additionally, Canex claimed that Gold Basin’s delay in providing its shareholders list contributed to the postponement.

Gold Basin is advancing the Gold Basin Project in Mohave County, Arizona, US. The proposal aims to consolidate gold districts and supports near-term exploration and expansion in the county. The area hosts multiple gold mineralisation zones and is poised for imminent drill testing and growth.

Gold Basin shareholders would also gain exposure to Canex’s Louise Copper-Gold Porphyry Project in British Columbia, Canada.

According to Canex, the offer will allow Gold Basin shareholders to move past previous challenges including poor share performance and regulatory issues, towards a more stable and focused entity.

The offer will expire on 12 December 2025, with allowances for extensions.

“Canex Metals initiates takeover bid for Gold Basin Resources” was originally created and published by Mining Technology, a GlobalData owned brand.

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