Minerals explorer Discovery Metals has announced it has refused the $830 million unsolicited joint bid from Chinese private equity groups Cathay Fortune and China-Africa Development Fund.

 

The deal would have seen Cathay Fortune take a 75 per cent stake of the company, while China-Africa Development Fund would take 25 per cent.

 

Discovery Metals announced it had met with representatives from the groups, saying that the proposed $1.70 per share acquisition bid seriously undervalued the company when taking into account its exploration plans and operations.            

 

The Directors of the company also announced they would consider a future revised bid for the company.