The Northern Star Resources Ltd (ASX: NST) share price is up around 26% over the past year on the back of a rising gold price and the miner has also employed an aggressive acquisition strategy to boost growth.
Back on September 5 Northern Star announced a 33 cents per share cash off-market takeover for Echo Resources Limited (ASX: EAR). The offer was at a 42% premium to the volume weighted average price of Echo shares of 23.2 cents over the 10-day period to August 19 2019.
Northern Star already owns 59.2% of Echo and is now seeking to takeover the rest of Echo at the same cash offer price.
For the 9 months to June 30 2019 Echo posted an operating cash loss of $13.2 million on no sales revenue, but did have $17.4 million cash on hand and extensive gold tenements.
