Company News

BUZZ-Acacia Mining jumps nearly 20% on Barrick's sweetened offer

(Updates to markets open, adds milestones)

** Acacia Mining jump 19.2% to top the gainers on FTSE 250 midcap index after an increased bid from Barrick Gold

** Co agrees to a deal with majority shareholder Barrick that has an implied value of 232 pence/Acacia share vs Thursday’s closing price of 186.6p

** Acacia shares, which scaled a 5-month high within 10 minutes of the opening bell, are on course for best day on record

** But stock was trading at 222.4p by 0710 GMT, well below the offer value

** Barrick spun off Acacia into a separate company in 2010, but still owns a 63.9% stake

** The deal ends months of back and forth between the companies, with Acacia having said the previous offer from Barrick in May undervalued it

** Acacia has been caught in a long-running legal battle with the Tanzanian govt over a tax row, affecting its share performance in the last few years

** As of Thursday’s close, the stock is up 1.8% vs a 19% rise in the broader mining index (Reporting by Muvija M in Bengaluru)