Will There Be a Bidding War for Aurelian Resources? (at Seeking Alpha)

by: FP Trading Desk posted on: July 27, 2008 | about stocks: AUREF.PK / KGC Despite the run-up in prices for bullion, the small cap gold space has been a disappointment for investors. For those who own Aurelian Resources Inc. , the ongoing development of new mining laws in Ecuador has made things much worse. Fortunately for them, Aurelian received a C$1.2-billion friendly all-stock takeover offer from Tier 1 producer Kinross Gold Corp. that sent shares of the junior miner up more than 40% on Thursday. And, Aurelian may have more room to run if a bidding war emerges as some analysts are predicting. Michael Gray, analyst at Genuity Capital Markets told clients that: We believe that Kinross’ bid will be the start of a bidding war for one of the most coveted undeveloped gold deposits in the world. He suggested that Kinross must... [read full story]