11:55 AM EST - New Gold Inc. : and Rainy River Resources Ltd. today jointly announced that they have entered into a definitive acquisition agreement whereby New Gold will offer to acquire all of the outstanding common shares of Rainy River through a friendly takeover bid. Under the terms of the Agreement, New Gold will offer, at the election of each holder of Rainy River common shares, 0.5 of a common share of New Gold or $3.83 in cash, in each case subject to pro ration. The Offer represents a premium of 42% over the closing price of the Rainy River shares on the Toronto Stock Exchange on May 30. New Gold Inc.
shares T.NGD are trading down $0.64 at $7.02.
