Wheaton rejects CdA Mines offer

COEUR d’ALENE – Wheaton Minerals Ltd.’s shareholders approved a stock buyout offer from another Canadian mining company Tuesday, effectively rejecting a competing offer from Coeur d’Alene Mines Corp.

Nearly 80 percent of Wheaton River’s voting shareholders approved the merger with Iamgold Corp. at a special meeting in Toronto, officials said. Iamgold’s shareholders will vote on the acquisition June 29. The merger would create a new company producing more than 1 million ounces of gold each year.

In late May, Coeur d’Alene Mines made an unsolicited bid for Wheaton River, offering $1.8 billion in stock and cash. After Wheaton’s board of directors declined the offer, Coeur d’Alene Mines upped the offer last week to $2 billion.

Dennis Wheeler, company chairman, and Coeur d’Alene Mines’ financial advisers, made a presentation Sunday night to Wheaton River’s board of directors, who rebuffed the company’s advances a second time.

In a statement, Wheaton River Chairman Ian Telfer cited Coeur d’Alene Mines’ history of financial losses.

Wheeler said he was disappointed that Wheaton’s board moved forward with the Iamgold vote Tuesday, instead of giving shareholders more time to consider Coeur d’Alene Mines’ proposal. “We are carefully considering our options,” said Wheeler, who still hopes to pursue a merger with Wheaton River.