Sulliden Stays Quiet does not comment on take-over Bid by Century.
Sulliden stays quiet about Century bid
2007-10-04 17:26 ET - Street Wire
See Street Wire (C-SUE) Sulliden Exploration Inc
by Stockwatch Business Reporter
John Kearney, the chief executive officer of Sulliden Exploration Inc., is staying mum about a potential takeover bid announced by Century Mining Corp. on Thursday. "I'll think we'll just have to see what happens next," he says.
Both stocks were halted on Thursday morning, until Century announced that it planned to offer 0.72 of a share for each share of Sulliden. Mr. Kearney says his company did not request the halt and that Century did not contact him or Sulliden on Thursday.
The two companies have locked horns since May, when Century acquired the shares of five Peruvian companies known as the Algamarca companies. Sulliden and Algamarca have been fighting since 2003 over the rights to the Shahuindo property, where Sulliden has found 1.5 million ounces of gold and 35 million ounces of silver. The fight has spawned numerous legal actions in Peru and one in Canada.
In her press release, Century Mining's chairman Margaret Kent encourages Sulliden's shareholders to accept the bid. She insinuates that her company would win the legal battle for the property, and that this offer ensures Sulliden shareholders will benefit from Shahuindo.
Sulliden's directors have not yet met to consider any proposals from Century. When asked what it will do, Mr. Kearney repeated that he could not comment.
In May, Sulliden's stock traded around 50 cents, while Century's traded between 80 and 90 cents. The day before Century made its announcement, Sulliden was at 30.5 cents, and Century was at 54 cents. On Thursday, Sulliden closed at 39.5 cents, while Century remained unchanged.
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