Canadian Nickel Miner Inco Makes $3.3 Billion Offer for Diamond Fields
TORONTO (AP) _ Canadian nickel miner Inco Ltd. on Wednesday made a $3.3 billion takeover offer for Diamond Fields Resources Inc., a Vancouver company that owns the rich Voisey’s Bay nickel deposit in Northeastern Canada.
The Inco takeover bid tops Falconbridge Ltd.’s earlier $2.94 billion bid for Diamond Fields.
``We believe the total consideration in our offer is clearly superior to that in Falconbridge’s offer,″ Inco chairman Michael Sopko said in a release.
The move comes two weeks after Diamond Fields rejected a $955 million proposal that would have made Falconbridge and Inco equal partners in the Voisey’s Bay discovery, the richest mineral find in Canada in decades.
``The Inco offer provides Diamond Fields shareholders with the opportunity for significant ongoing participation in Voisey’s Bay,″ Sopko said.
``From Inco’s perspective, this transaction is consistent with our stated corporate objectives of expanding the company’s nickel production and improving its cost position.″