A major proxy advisory firm is urging investors to reject Eldorado Gold's C$3.8 billion ($2.7 billion) bid for Foran Mining Corp., creating fresh obstacles for the proposed acquisition. The recommendation from Glass Lewis follows earlier resistance from Eldorado's third-largest shareholder, who argued the takeover price was excessive.

This latest development intensifies pressure on Eldorado's management as they attempt to secure shareholder approval for the all-cash deal. The proxy firm's opposition carries significant weight in corporate governance matters, potentially influencing how institutional investors vote on the transaction. Foran Mining shareholders will need to weigh the competing recommendations as they consider whether to support the premium offer.

The mounting opposition suggests Eldorado Gold may need to reconsider its approach or risk seeing the deal collapse. With both a major shareholder and a respected proxy adviser now aligned against the transaction, the company faces an uphill battle to complete what would be a transformative acquisition in the mining sector.