Excavating a Pair of Mining Stocks
One of the best feelings of being an investor is waking up to find one of the stocks in your portfolio is the recipient of a buyout offer at a substantial premium to its current price. It is like winning a small lottery: unexpected, but very welcome. I got to experience this on Monday as one of the core positions in the small-cap portion of my portfolio, Aurizon Mines (AZK), received a buyout offer from Alamos Gold for an approximate 40% premium.
Consolidation among the smaller gold miners makes good strategic sense. Despite historically high prices for gold and silver, the sector has been challenged over the last few years. Significant cost inflation in operating costs, strikes and troubles ramping up production are just some of the headwinds the industry has faced....322 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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