U.S. Gold stalled in takeover bids (June 06, 2006)

U.S. Gold (USGL-O) has withdrawn its takeover offer for White Knight Resources (WKR-V) in response to an opinion from the United States Securities and Exchange Commission that the offer had not been properly registered.

The SEC had ruled that U.S. Gold’s tender offer for White Knight should have been registered before it was launched, and that the registration statement should have contained financial information that was not in U.S. Gold’s submission. U.S. Gold said it was acting in good faith and that it had not been able to get the information.

U.S. Gold plans to launch formal offers for White Knight, Nevada Pacific Gold (NPG-V), Coral Gold Resources (CGR-V) and Tone Resources (TNS-V) once it has satisfactory documentation for the Commission.

In March, U.S. Gold announced it was bidding for all four companies to consolidate a large land package in the Cortez gold trend in northeastern Nevada. It was offering 0.35 of a U.S. Gold share for one share of White Knight, 0.23 of a share for one Nevada Pacific, 0.63 of a share for one Coral Gold, and 0.26 of a share for one of Tone Resources.

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