Avoca Sweetens Diora Takeover Bid

6 July 2009 (Last Updated July 6th, 2009 18:30)

Australian gold miner Avoca Resources has raised its takeover offer for Dioro Exploration and extended the offer period by one week, until 21 July. Avoca’s new offer is to pay one share for every 2.4 Dioro shares, valuing each share at 78.4 cents. The increased offer represent

Australian gold miner Avoca Resources has raised its takeover offer for Dioro Exploration and extended the offer period by one week, until 21 July.

Avoca’s new offer is to pay one share for every 2.4 Dioro shares, valuing each share at 78.4 cents.

The increased offer represents a premium of over 89% to the 39.5 cent closing price of Diora shares on 9 April, Avoca said in a statement.

Avoca warned Dioro shareholders that a rejection of the bid may result in the fall of its share price if another bidder did not emerge, which Avoca said was likely as there has been no other interest to date.

Avoca is already shareholder in Dioro with a 14.95% interest.