Post says Osisko, others seen as takeover targets

2010-03-09 08:38 ET - In the News

See In the News (C-OSK) Osisko Mining Corp

The Financial Post reports in its Tuesday edition that at just under $60-billion, the value of merger and acquisition activity in mining was close to rock bottom in 2009. The Post's David Pett writes that now it is time to cue the comeback. Dundee Securities analyst Paul Burchell expects to see a rebound in the dollar value of transactions in the mining space in 2010. "Producing companies are currently enjoying healthy cash margins at their operations, and in many cases balance sheets have been strengthened and share prices have recovered," he said. "We declare that the signs are there that hunting season is open and it is simply a matter of time before we begin to see some sizeable deals take place." In the gold industry, Mr. Burchell said Osisko Mining, San Gold and Andean Resources all have targets on their back, as do Allied Nevada Gold, Gammon Gold, Aurizon Mines and Minefinders. He named some other base and precious metals companies that could attract interest from senior producers: Baffinland Iron Mines, Noront, Sabina Gold and Peregrine. "We remain skeptical that much will change in respect of M&A activity in socially or politically challenging jurisdictions," he said.