CVRD Bids for Canadian Nickel-producer

Brazil’s Companhia Vale do Rio Doce (CVRD), the world’s largest iron ore exporter, has made an unsolicited bid for Canadian nickel producer Canico Resource Corp for C$17.50 in cash per common share. The deal would be worth C$725 million ($609 million). Canico shares soared by one-third after the offer, a 29% premium on Canico’s stock price for the past 30 days. CVRD says the deal is part of its strategy to become a global player in the non-ferrous metals industry. Canico says it is not looking for a buyer.