Canaccord boost Lundin target
Canaccord Genuity analysts today boosted their outlook for shares of Lundin Mining Corp. after its broken marriage proposal with Inmet Mining and its pursuit by Equinox Minerals Ltd.
The analysts hiked their target to $9.50 from $8.75.
"Given the emergence of the hostile bid by Equinox, we were not surprised to see the 'merger-of-equals' transaction with Inmet fall apart," Canaccord said.
"Lundin is now in position to formally explore all possible strategic alternatives, which includes finding a white night and/or breaking up the company ... Given the relatively high quality of Lundin’s asset base, specifically with Tenke and Neves-Corvo, we anticipate that significant interest from alternative suitors is likely to emerge."
