Business
Endeavour reports net income of US$22.5 million for quarter ended December 31, 2009
Endeavour reports net income of US$22.5 million for quarter ended December 31, 2009
About this update from Endeavour Mining Plc
[{"type":"text","content":"\n\n\n\nFeb. 10, 2010 (Canada NewsWire Group) -- GEORGE TOWN, Grand Cayman, Feb. 10 /CNW/ -- Endeavour Financial Corporation (\"Endeavour\" or the \"Corporation\") today reported net income of US$22.5 million or US$0.23 per share for the quarter ended December 31, 2009.Revenue for the quarter of US$35.6 million includes US$31.6 million investment income and US$4.0 million of advisory fees.At December 31, 2009 the Corporation had cash and cash equivalents of US$84.6 million; general merchant banking investments of US$110.3 million; and gold-strategy investments of US$71.1 million.During the quarter ended December 31, 2009 the Corporation completed its strategic investment in Etruscan Resources (\"Etruscan\"). Endeavour invested a total of US$58.3 million resulting in the Corporation holding 186,294,549 common shares representing 55% of the issued and outstanding common shares of Etruscan (see News Release, October 23, 2009). The value of the investment at December 31, 2009 was US$71.1 million. The investment in Etruscan was the Corporation's first strategic investment in the junior gold-sector as part of its gold-focused investment strategy.Subsequent to December 31, 2009 Endeavour completed the second phase of its gold focused investment strategy by way of a strategic investment in Crew Gold Corporation (\"Crew\"). Endeavour invested US$91.8 million resulting in the Corporation holding 810,083,211 common shares, representing 38% of the issued and outstanding common shares of Crew Gold Corporation (see news release dated January 28, 2010).Endeavour has a gold focused investment strategy to create value by investing in junior gold producers with a plan to build an intermediate sized gold company and the subsequent realization of this investment.At December 31, 2009 approximately 68% of the Corporation's investment portfolio was invested in the gold sector. Following the completion of the Crew investment, approximately 75% of the Corporation's investment portfolio is invested in the gold sector.The Corporation's book value at December 31, 2009 was US$316.5 million (or approximately CDN$3.41 per issued and outstanding share).Neil Woodyer, Chief Executive Officer commented \"the continued profitability of the Corporation for the second quarter is a direct result of our strategy to invest in both general merchant banking and gold-stra...