Chinese Group Invests $250 Million in Local Resources Exploration Company
Posted on August 28, 2012
York Region based Exploration Inter-Citic Minerals Inc. (TSX:ICI) stocks soared over a third Monday after the company revealed it was being acquired by a subsidiary of China-based Western Mining Group, in a deal that values the Canadian gold miner at $252 (Cd$250) million.
The company shares were up 53 cents at the Toronto Stock Exchange (36.55%) Monday morning at $1.98 in heavy trading of over four million shares, making it the most active issue on the exchange.
Xihong Pan, vice-president of Western Mining Group Co., Ltd., said the purchase of Inter-Citic and the Dachang project was “an important step in realizing our chairman’s strategic goal of expanding the gold division of Western Mining.”
Western Mining Group is an integrated resources development firm based in China’s Qinghai province with total assets of about $5.5 billion. There are about 40 companies within the Western Mining Group, including Western Mining Co., Ltd, which is listed on the Shanghai Stock Exchange.