First Quantum rebuffs informal approach from Barrick Gold

First Quantum Minerals Ltd. recently rebuffed an informal takeover approach from Barrick Gold Corp., the world’s second-largest producer of the precious metal, as miners scour the globe for deals, people with knowledge of the matter said.

Barrick made overtures to First Quantum in the last few months as part of its search for ways to expand in copper, the people said. First Quantum indicated it wasn’t keen on a combination and declined to enter any substantive talks, according to the people. 

Shares of First Quantum jumped as much as 13 per cent in Canadian trading Thursday, the biggest intraday gain since November. The stock was up 7.8 per cent at 2.06 p.m. in Toronto, valuing the company at US$17.3 billion. Barrick fell 1.7 per cent in New York trading, giving the company a market value of US$28.9 billion.

Barrick and First Quantum aren’t currently in formal discussions, the people said, asking not to be identified because the information is private. It remains unclear whether Barrick will revive its interest, according to the people.