Inmet Mining Corp. will waive application of a shareholder rights plan that was supposed to take effect hours before the Feb. 27 deadline for First Quantum’s hostile $5.1-billion takeover bid.
Inmet said Tuesday that its board is taking the action because it has enough time to review and execute all strategic alternatives being considered.
Consequently, Inmet said an Ontario Securities Commission hearing set for Feb. 25 to address the application by First Quantum to block the plan will no longer be required.
Inmet said its board continues to recommend that Inmet shareholders reject First Quantum’s offer and not tender their shares.
The Vancouver-based miner gave Inmet shareholders an additional 13 days to decide whether to accept its takeover bid so it can pursue regulatory approvals.
It also changed a condition to give First Quantum the discretion to go ahead with a purchase even if it isn’t given access to the same non-public information provided to other potential buyers, according to a regulatory filing obtained through DisclosureNet.com.
Inmet is a Canadian-based global mining company that produces copper and zinc. It has three wholly-owned mining operations in Turkey, Spain and Finland, along with an 80 per cent interest in Cobre Panama, a development property in Panama, currently in construction.