The IGO Ltd (ASX: IGO) share price is frozen today at $10.63 per share.
The S&P/ASX 200 Index (ASX: XJO) resource explorer and producer requested a trading halt today "pending an announcement in relation to a potential acquisition".
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What other ASX resource share is frozen today?
Not coincidentally, the Western Areas Ltd (ASX: WSA) share price is halted alongside the IGO share price today as well.
In its ASX announcement this morning, Western Areas said it was requesting the pause in trading "pending an announcement by the company regarding a potential change of control transaction involving the company".
The Motley Fool first reported on early news of IGO's interest in acquiring rival Western Areas in exchange for shares back on 19 August.
At the time IGO acknowledged its interest, saying, "IGO confirms that it is in preliminary discussions with Western Areas in relation to a change of control proposal and the basis upon which engagement and due diligence could proceed."
The IGO share price tumbled 6% that day while Western Areas shares leapt 13% higher.
Now, as the Australian Financial Review reports, IGO has "agreed an all-cash takeover offer" for Western Areas. "It is understood the bid values Western Areas at more than $3.30 a share."
Western Areas was trading for $3.24 when markets closed yesterday.
According to the AFR, "IGO's expected to fund the bid with some new debt and existing cash reserves. The bid would value Western Areas at more than $1.1 billion. Western Areas is expected to tell shareholders to accept the offer."
Stay tuned!
IGO share price snapshot
The IGO share price has been charging higher over the past 12 months, up 66%. By comparison the ASX 200 has gained 9% since this time last year.
Over the past month IGO shares are up 8%.
Earlier this month, broker Citi upgraded the company's shares to a buy rating from neutral with a target for the IGO share price of $12.40.
