Post says market does not buy Petaquilla's rejection

2008-07-16 08:49 ET - In the News

Also In the News (C-IMN) Inmet Mining Corp

The Financial Post reports in its Wednesday edition Petaquilla Copper says the hostile takeover offer it received from Inmet Mining Corp. is too low, but investors are not buying it. The Post's Peter Koven writes Petaquilla dismissed Inmet's $2-a-share bid, calling it "inadequate" in a statement issued Monday night. However, the stock did not budge in trading Tuesday, closing below the offer price at $1.95. More than two million shares changed hands. As part of its takeover defence, Petaquilla Copper cited a story in the Post in which Inmet's chief operating officer Jochen Tilk said the offer for Petaquilla was "opportunistic" (the company's market price is down sharply this year). In that same story, Mr. Tilk also said the offer represents "fair and full value" for Petaquilla Copper. Analysts have also issued reports arguing that Inmet is paying a full price. Petaquilla Copper says Inmet's bid may not be allowed under the company's shareholder rights plan.