Fight Over Gold Industry Consolidation Moves to Texas

[Tsiyu]

By David Koenig The Associated Press
Published: Jan 26, 2005






DALLAS (AP) - A three-way brawl has broken out among three gold-mining companies, each seeking to survive in an industry increasingly dominated by larger rivals.
Last month, Goldcorp Inc. made a $2.1 billion stock offer for fellow Canadian operator Wheaton River Minerals Ltd, but American upstart Glamis Gold Ltd. jumped in two weeks later with a hostile bid for Goldcorp, which is twice its size.

It's the latest move toward consolidation in the gold industry, following a similar three-way fight in South Africa. Industry officials say more deals are likely.

Wheaton River's management supports the sale to Goldcorp. On Tuesday, executives from the two companies were in Texas to ask big investors for help in approving their merger and fending off Reno, Nev.-based Glamis.

http://ap.tbo.com/ap/breaking/MGB8MR03F4E.html

[NVMojo]

1. this process gained speed in the past few years when the price of gold

was under $220. an ounce ...that's when the giants held on, companies like Barrick Goldstrike Mines (Daddy Bush sits on their board) hedged their gold price and made money while other dropped off the landscape, unable to make a profit ...many were financially weakened if they were able to hold on during that period ...many need to be gobbled cuz they haven't been able to turn it around since the price of gold flew back up over the past couple of years ...

Thanks for posting this.

[Tsiyu]

3. You're welcome

Thanks for reading it.
:)

[lapfog_1]

2. When our currency enters free fall

I can already here the wingnuts calling for a return to the
gold standard.