Woulfe Mining Corp.(CVE:WOF
) (PINK:WFEMF) stock price tanked after the company said they will need to wait for further due diligence before the partial sale of subsidiary and a possibility of two month before sale idle period was added to the initial agreement.
WOF stock price tanked 31.4% after traders digested the news. The interest was huge with a trading volume of 3.2 million it topped the average turnover of 427 thousand around eight times.
Traders got disappointed after the company said they will have a 60 day extension before completing the sale of 25% interest of their Korean subsidiary. The deal is worth $35 million as the subsidiary holds the ownership of Sangdong tungsten-molybdenum mine which is targeted by the current buyers IMC.
The delay came up after IMC received a report from their consultants and will require more time to carry out due diligence.
Both parties are considering the development of Sangdong project under a joint venture, which would be 55% owned by IMC. The sale of interest in subsidiary is just a stepping stone for the cooperation between the businesses.