The offer of $5/share, a 31% premium to Nevsun's closing price was rejected, leaving the $1.2 billion offer flat.
"The Nevsun Board of Directors is unanimous in its belief that the Non-Binding Unsolicited Proposal fails to reflect the strategic value of our asset base," said Ian Pearce, Chair of Nevsun's Board of Directors. "The Non-Binding Unsolicited Proposal also presents a problematic structure that could further undermine value to our shareholders."
It will be interesting to see the next move as this was an unsolicited offer, and not the first approach at Nevsun. As Cecilia Jamasmie, at Mining.com reports Lundin and Nevsun have some history over a property in Serbia, and one in Eritria. It appears that Euro Sun/Lundin are not going to shy away as they commented:
"After months of attempting to reach an agreement, we are disappointed that Nevsun has prevented its shareholders from considering our premium proposals. At this point in time, we believe that all Nevsun shareholders should be made aware of this opportunity,”