Gold producer Avoca Resources Ltd
(ASX:AVO) has launched an unconditional takeover bid for Dioro Exploration NL
(ASX:DIO) which values the company at $1.25 a share.
Avoca, who currently holds a 44.85% stake in Dioro, is offering Dioro shareholders 65 cents cash and 0.325 of its shares for each Dioro share held, valuing Dioro at around $115 million.
Dioro is currently the subject of a $105.8 million takeover by Ramelius Resources.
Avoca made a failed takeover attempt of the miner earlier in the year.
Avoca says the combination of the two companies would create a leading ASX200 Western Australian focused gold producer, which is forecast to produce around 270,000 ounces in fiscal 2010 and which would have a resource base in excess of 4 million ounces.
Avoca Resources posted a loss for the year to June 30, 2009.
