Augen Gold Corp. (CVE:GLD) (PINK:AUGNF) share price continues to go up fueled by the outstanding acquisition offer from Trelawney Mining and Exploration Inc.
GLD rallied up for the sixth session in a row as the share price added another 8.7% on a heavy trading volume of 1.7 million, which was significantly above the average of 387 thousand.
The price got gapping and rallying after the company got an acquisition offer from Trelawney Mining and Exploration Inc. as was announced on Monday July 11, 2011. The offered price is 32 cents per common share of GLD, which suggests the rally is not likely to extend far above this level. However technically the setup is in favor for continuation.
Augen Gold shareholders will be offered 0.066 common shares of Trelawney for each GLD share.
The Board of Directors of Augen has appointed a special committee of independent directors to evaluate the offer.
The company already ran into trouble communicating with Trelawney when trying to lead a consideration of details beyond the initial offer made by Trelawney. The company advised shareholders not to deposit GLD shares to offers made by Trelawney until an official notice from Augen is made.
