HudBay to Sell Lundin Shares

13 May 2009 (Last Updated May 13th, 2009 18:30)

Lundin Mining has consented to the sale of HudBay’s shares in the company, ending a bitter shareholder dispute. The agreement will come into effect on 26 May. The decision follows the ousting of the HudBay board due to a shareholder revolt in March after the company said it wou

Lundin Mining has consented to the sale of HudBay’s shares in the company, ending a bitter shareholder dispute.

The agreement will come into effect on 26 May.

The decision follows the ousting of the HudBay board due to a shareholder revolt in March after the company said it would purchase Lundin without consulting investors.

The agreement calls for the termination of all rights and obligations under the termination agreement announced in February 2009.

Lundin Mining president and chief executive Phil Wright said current interest in Lundin stocks would cushion any affect of the sale.

"We are advised that there are no large, individual blocks being taken as part of this sale, which indicates that there is currently a high level of interest in the company's stock from wide-ranging sources,” Wright said.

Toronto-based Lundin Mining is a diversified base metals mining company producing copper, cobalt, nickel, lead and zinc.

By staff writer