Monterrico: offer at a 'modest premium'

Monterrico Metals confirmed shortly before Christmas that it had received an indicative offer at a 'modest premium' to the then price of 257.5p. The shares have, unsurprisingly, moved little since. Separately, Monterrico said it had received a draft of the detailed feasibility study for the Rio Blanco copper project in Peru. It had promised to have the study in place by the fourth quarter of the year. More work needs to be done on it but management says the study at least shows the project 'is both technically feasible and commercially viable'.

If you bought on my recommendation here in April last year at 280p, continue to hold. While the copper price is now moving firmly in the wrong direction for Monterrico, the prospect of a bid suggests you may yet get your money back.