Phoenix Gold (ASX:PXG) directors continue to unanimously reject the takeover offer from Evolution Mining (ASX:EVN).
The company said that the Evolution offer of $0.06 cash and 0.06 Evolution shares does not fairly reflect the value of its assets.
Evolution's offer has gained minimal traction with acceptances to date of only 0.18% of Phoenix’s total shares on issue.
Phoenix noted that the recent rise in the Australian dollar spot gold price to in excess of A$1600 per ounce since the Evolution bid, further strengthens the inherent value of Phoenix.
Recently an Independent Expert valued a Phoenix share at between $0.156 and $0.244 as part of Independent Expert’s Report, in relation to the Zijin Offer.
Zijin offered $0.10 cash per share which the Phoenix board also rejected.
Phoenix last traded at a significant premium of $0.15, and the company is well-funded with cash at bank and gold bullion on hand totalling A$4.1 million at the end of September 2015.
The company has an extensive land holding on the Zuleika and Kunanalling shear zones northwest of Kalgoorlie in Western Australia, home to some of Australia’s richest gold deposits.
Phoenix has total resources of over 4 million ounces.
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