Scion loses appeal; Gold Fields deal to go through

The Yukon Court of Appeal has dismissed Scion Capital‘s appeal connected to the courts earlier decision in favour of the Gold Fields (GFI-N, GOF-L) acquisition of Toronto-based Bolivar Gold (BGC-T).

A joint press release from Bolivar and Gold Fields issued on Feb. 28 states that “effective immediately shareholders and warrantholders hold only a right to payment for the securities pursuant to the terms of the plan of arrangement.”

Bolivar common shares and warrants will be de-listed from the TSX at the close of business on or about March 2.

Since shortly after the announcement of the proposed acquisition in November of 2005, California-based Scion has argued that the offer under-valued Bolivar’s Choco 10 property in Venezuela, over-compensated Bolivar’s management and was not in the best interest of Bolivar shareholders.

Scion, with roughly 19% of Bolivar common shares is the single largest minority shareholder in the company.

The deal was approved by roughly 76% of shareholders, and only needed the Yukon court’s approval to be finalized.