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Gold/Mining/Energy : Pacific Rim Mining V.PFG -- Ignore unavailable to you. Want to Upgrade?

To: Bill Jackson who wrote (8224)	12/18/1997 8:59:00 PM
From: J. Kerr	Read Replies (1) \| Respond to of 14627

Thought the following article might be of some interest (copied from the Financial Post website) ---------------------------------------------------------------------- Barrick plans takeover defence as stock tumbles TORONTO (CP) - Barrick Gold Corp. said Thursday it will adopt a shareholders' rights plan to fight off any unwanted takeover attempt of Canada's largest gold producer. ÿThe so-called poison pill defence would give Barrick 60 days to find alternative bidders in the event of an unwelcome takeover offer, and would be triggered if anyone acquired 20 per cent or more of Barrick's stock. ÿ"The rights plan, which would be in effect until 2002, was not adopted in response to any specific proposal to acquire control and the company is not aware of any such proposal," Barrick said in a release. ÿ"The rights plan is similar to plans approved by shareholders of other Canadian companies." ÿThe anti-takeover defence would also allow Barrick shareholders to buy company stock at a 50 per cent discount, flooding the market with new shares and making a takeover prohibitively expensive. The plan will be voted on at the company's annual meeting next May. ÿWith plunging world gold prices, shares of Barrick have dropped more than 40 per cent in the last year, making the company an attractive takeover target. Barrick shares closed Thursday at $26.15, down 20 cents on the day as world gold prices on the London market rose about $3 to $289.95 US. ÿAnalysts speculate Barrick might be a takeover target for a big international gold producer because the Toronto company has a strong balance sheet, several low-cost mines in Canada, the U.S. and South America and gold "hedge" contracts that protect it from plunging bullion prices. ÿIn addition, Barrick is widely held. TrizecHahn Corp., a real estate developer controlled by financier and Barrick chairman Peter Munk, owns just under 16 per cent of the company, with no other single shareholder owning more than five per cent. ÿCompanies seen as potential bidders include Normandy Mining Ltd., Australia's biggest gold producer, South Africa's Anglo American Corp. and Newmont Mining Corp. of Denver, North America's biggest gold producer. ---------------------------------------------------------------------- Regards. J. Kerr