Two Chinese companies have offered 450 million dollars for Canadian copper assets in Peru as part of China's push for natural resources in South America, state press said Tuesday.
China Minmetals Nonferrous Metals has teamed up with Jiangxi Copper to launch an apparently successful take over of the Vancouver-based Northern Peru Copper for 455 million Canadian dollars, the China Daily reported.
All companies involved are happy with the deal, although it still requires regulatory approval.
Northern Peru has been looking for a buyer this year to acquire and develop its Galeno copper-gold-molybdenum project in the South American country, the paper said.
"Minmetals and Jiangxi Copper presented us with the best offer to acquire the company and we are happy to accept their offer," the paper quoted Northern Peru's chairman Ross Beaty as saying in the Canadian press.
The two companies are offering 13.75 Canadian dollars per share in cash, a premium of more than a third of Northern Peru Copper's 20-day average price last week, the paper said.
The deal is expected to close in early 2008 and is still pending approval from regulators, Jiangxi Copper said in a statement filed with the Shanghai Stock Exchange on Monday.
The deal follows Aluminum Corp of China's 790-million-dollar buyout of Peru Copper in June.
Zijin Mining Group, China's second biggest gold miner, purchased over 50 percent of Peru's Monterrico Metals in April, the China Daily said.
China's appetite for natural resources has skyrocketed with the expansion of its economy which has seen strong growth over recent years.
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