Lundin Mining's (LUN.TO) board on Sunday recommended shareholders reject a C$4.8 billion unsolicited bid by Equinox Minerals Ltd (EQN.TO), arguing that the offer undervalues the company. The rejection, which was widely expected, comes as Lundin shareholders prepare to vote on a friendly tie-up with Inmet Mining (IMN.TO). The two companies plan to merge and create a new Canadian base metal miner called Symterra. Shareholders of Inmet would own 52.6 percent of the new company and Lundin investors the rest. [ID:nN27203451] Lundin said that a special committee appointed to review the Equinox offer unanimously concluded that the bid was not in the best interests of Lundin's shareholders or the company. "Equinox is essentially asking shareholders to grant them an option to acquire Lundin Mining, at their discretion, and their lenders discretion, at a price that is inadequate and containing substantial risks if implemented," Chief Executive Phil Wright said in a statement. (Reporting by Euan Rocha in Toronto and Allan Dowd in Vancouver; Editing by Marguerita Choy)
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