SolGold rejects Jiangxi Copper’s takeover bid

Group 1 - SolGold has rejected a preliminary and conditional takeover bid from Jiangxi Copper Company, which is its largest shareholder with a 12% stake, offering 26p per share [1][2] - Following the rejection, SolGold shares increased by as much as 17% to 30.65p, building on a nearly 30% gain over the previous four sessions [1] - The SolGold board expressed confidence in the company's stand-alone prospects and advised shareholders to take no action while evaluating next steps [2] Group 2 - Interest from Western miners like BHP Group and Newmont in acquiring SolGold has diminished due to disputes over funding plans and the downsizing of the Cascabel mine project [3] - The copper mining sector is experiencing heightened activity, with forecasts of a metal shortage driven by global electrification, leading to multiple acquisition attempts among major miners [3] - SolGold is focused on discovering and developing copper and gold deposits in Ecuador, holding significant concessions in the Andean copper belt [4] Group 3 - In July 2024, SolGold secured a $750 million (A$1.11 billion) financing package to advance the Cascabel Project in Ecuador's Imbabura province [4]