China Minmetals withdraws offer for Equinox

China Minmetals Resources (1208.HK) withdrew its offer to acquire copper miner Equinox Minerals (EQN.TSX, EQN.ASX) in the face of a higher bid from Barrick Gold (ABX.NYSE, ABX.TSX), the Wall Street Journal reported. State-controlled Minmetals bid US$6.6 billion for Equinox earlier in the month, but Equinox shareholders rejected the offer as too low. Canadian firm Barrick Gold offered to pay US$7.6 billion on Monday, at which point Minmetals withdrew. Minmetals said competing with Barrick Gold for the company would prove “value-destructive” for Minmetals’ shareholders. Analysts expect Minmetals to keep seeking investment opportunities in foreign markets, but its ability to raise funds for fresh investments was put in doubt when it only raised US$500 million of the US$862 million it planned to raise in a share placement earlier in April.