Eldorado pulls $500 million note offering as Thomson Creek prices offering aimed at funding work at British Columbia copper-gold mine.
Eldorado Gold Corp. (TSX: T.ELD, Stock Forum) (NYSE: EGO, Stock Forum) said Friday that due to current market conditions, it has elected not to proceed with its planned offering of US$500 million senior unsecured notes, which it had previously announced on November 12, 2012.
“Deteriorating conditions in the debt capital markets led us to conclude that the proposed offering of senior notes would not be in the best interest of shareholders under the terms currently available,’’ said Eldorado Chief Executive Officer Paul Wright in a press release.
The announcement comes as Thomson Creek Metals Co. Inc. (TSX: T.TCM, Stock Forum) (NYSE: TC, Stock Forum) announced the priced an offering of $350 million in 9.75% senior secured notes due 2017. In a press release, the company said it intends to use the proceeds of the offering for general corporate purposes, including capital expenditures related to the development of is Mt. Milligan copper-gold mine in British Columbia.
Eldorado eased 0.07% to $14.12, leaving the company with a market cap of $10 billion, based on 713.6 million shares outstanding. The 52-week range is $19.21 and $9.94. Thompson Creek eased 1.4% to $2.87, leaving the company with a market cap of $484.2 million, based on 168.7 million shares outstanding. The 52-week range is $9.43 and $2.23.