Now That's A Premium

From what I've seen of the junior exploration market, there's no mania. The stocks sometimes shoot up, but there has to be a specific driver behind any leap. If anything, anticipatory leaps seem to have diminished.

But, the right driver can push a stock way up. Like this one: Brazauro Resources is being taken over by mid-tier producer Eldorado Gold...for a 92 percent premium over its last trading price. Yep, 92%:

At $1.33 per share, the all-stock Eldorado offer came at a stunning 92 per cent premium to where Brazauro stock was trading before the deal was announced. Typcially, takeovers play out at a 20 to 30 per cent premium.

Not all deals are that rich; far from it. It's still a jungle in there.