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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Bobby Yellin who wrote (39250)	8/20/1999 1:11:00 PM
From: goldsnow	Read Replies (1) \| Respond to of 116796

it never fails, ever..and gold is no exception...<VBG> Phelps makes play for Cyprus, Asarco Shares soar after offer to buy merging companies By Sam Ames, CBS MarketWatch Last Update: 12:47 PM ET Aug 20, 1999 NewsWatch Movers & Shakers NEW YORK, (CBS.MW)-- Shares of copper miners Cyprus Amax Minerals and Asarco soared Friday as the companies revealed plans to proceed with their planned merger despite an unsolicited move by competitor Phelps Dodge to acquire both firms with stock. Phelps Dodge (PD: news, msgs), a miner of copper that also operates a manufacturing unit, offered Friday to swap 0.3756 share of its own stock for each Asarco (AR: news, msgs) share, which equals a 19 percent premium over Asarco's current stock price. Phelps Dodge also offered 0.2874 share for each share of Cyprus Amax (CYM: news, msgs), equivalent to an 18 percent premium over Cyprus Amax's stock price. Based on current market valuations, that amounts to $875.9 million for Asarco and $1.5 billion for Cyprus. Shares of Asarco rose 2 5/8, or 14 percent, to 21 1/16, while shares of Cyprus are up 13 percent, rallying 1 15/16 to16 7/16. Phelps Dodge shares were also up strongly, rising 2 7/16 to 61. In a statement, Asarco and Cyprus said their boards decided to go ahead with their merger and set a shareholder meeting on September 30 to approve the deal. Their boards expect the merger to save the companies $200 million in annual expenses and about $75 million in operational cash improvements. The companies also said the newly formed Asarco Cyprus Inc. would form the largest publicly traded copper company. Sam Ames is an online reporter for CBS MarketWatch.