Condor Gold Flies At Last

What To Do Now Its Caught A Bid

If you are a Condor Gold (CNR.L) shareholder, you might have seen the flurry of announcements over the last 24 hours.

This is a story that is still ongoing, and there will be more twists and turns before it is over. But I felt I should get something out to you, given so many readers bought stock in Condor earlier in the year. Patience is finally paying off.

(ICYMI - here is my first piece on Condor).

Here is where we are

On Sunday, Sky News breaks a story that Candy Brothers gold mining investment vehicle Metals Exploration (MTL.L) is putting together a bid for Condor

Then, this morning, Condor puts out a news release saying that it has received two non-binding offers, one from Calibre Mining (CXB.TO) and one from Metals. (A reminder: Calibre has the property next door, a mill that is not running at full capacity and could be processing Condor’s ore within 6 months. It also just put out some crap Q4 production numbers, which would never have been an issue if it taken out Condor a year ago and not let egos get in the way).

Then, bringing ego back into the fray once again, Calibre puts out a news release saying , “it is not currently in discussions with Condor, nor does it have an active offer. At this time, unless Condor is willing to reengage in meaningful discussions, Calibre does not envision completing an acquisition.”

Never believe anything until it is officially denied!

Then Metals Exploration comes out with a release clarifying that it has made an offer of “£67.5 million, representing approximately 33.0p per Condor Share” plus another “US$28.8 million (£22.6 million), representing 11.1p” payable should the resource be increased to a certain size within five years. Total effectively 44p per share.

Multi millionaires, corporate takeovers, buccaneer spirits in London. It’s like the 1980s all over again.

As I have said a million times, Calibre will kick themselves if they miss out on this. Just because Condor was cheap, they low balled, and were unable to see the huge value gain of 2.5 million truck-able ounces on their doorstep. They will never again get an opportunity to acquire 2.5 million such easily mine-able ounces. Stupidity of the ego and all that.

In any case, there is a VERY BIG takeaway from that final announcement. And it it this.