Bacanora Lithium surges on takeover approach from shareholder Gafeng

Mining company Bacanora Lithium said on Thursday that it has received a takeover approach from major shareholder Gafeng, sending the shares sharply higher.

China’s Gafeng, which already has a 29% stake in Bacanora, has offered to pay 67.5p per share for the shares it does not already own. This is a 50% premium to Bacanora’s closing share price on Wednesday.

Gafeng owns a 50% stake in Bacanora’s lithium deposit in Mexico, Sonora.

At 1500 BST, Bacanora shares were up 26% at 56.70p.