Business
ENDEAVOUR REPORTS NET INCOME OF US$118.6 MILLION FOR YEAR ENDED JUNE 30, 2010
ENDEAVOUR REPORTS NET INCOME OF US$118.6 MILLION FOR YEAR ENDED JUNE 30, 2010
About this update from Endeavour Mining Plc
[{"type":"text","content":"\n\n\n\n Sep. 8, 2010 (Canada NewsWire Group) -- \n\n \n \n \nTR.cnwUnderlinedCell TD {\n BORDER-BOTTOM: #000000 1px solid\n}\nTR.cnwDoubleUnderlinedCell TD {\n BORDER-BOTTOM: #000000 3px double\n}\nTR.cnwBoldUnderlinedCell TD {\n BORDER-BOTTOM: #000000 3px solid\n}\nTD.cnwUnderlinedCell {\n BORDER-BOTTOM: #000000 1px solid\n}\nTD.cnwDoubleUnderlinedCell {\n BORDER-BOTTOM: #000000 3px double\n}\nTD.cnwBoldUnderlinedCell {\n BORDER-BOTTOM: #000000 3px solid\n}\n\nToronto Stock Exchange: EDV\n\nGEORGE TOWN, Grand Cayman, Sept. 8 /CNW/ - Endeavour Financial Corporation ("Endeavour" or the "Corporation") today reported revenue of US$158.2 million and net income of US$118.6 million or US$1.23 per share for the year ended June 30, 2010. The financial performance was primarily the result of successful investments in two West African gold producing companies.\nAt June 30, 2010 the Corporation had gold strategy investments valued at US$297 million and general merchant banking investments of US$33 million. The Corporation's book value was US$375 million or approximately CDN$4.07 per issued and outstanding share.\nDuring fiscal 2010, the Corporation invested a total of US$198 million to acquire 55% ownership of Etruscan Resources Inc. ("Etruscan") and 43% ownership of Crew Gold Corporation ("Crew Gold"). As of June 30, 2010 these investments had appreciated in market value to US$297 million and thereby generated US$98.5 million of investment income for the year. In addition, during the year the Corporation generated US$49.5 million of investment income on its general merchant banking resource investments and US$10.3 million of Advisory fee revenue for services provided to clients.\nEndeavour is implementing a strategy to create value by investing in junior gold producers at attractive entry points and by becoming actively involved with the companies. The ultimate creation of an intermediate-sized gold producer is anticipated to drive higher valuation multiples. On June 28, 2010, Endeavour entered into an arrangement agreement to acquire the 45% interest in Etruscan that Endeavour did not already own. Etruscan shareholders approved the arrangement on August 19, 2010 and Endeavour will become Etruscan's 100% owner at closing scheduled for September 10, 2010. This transaction transforms Endeavour into a...