Monex Drops Offer to Buy Arizona Firm

Monex International Ltd. Chairman and owner Louis Carabini said Friday that the Newport Beach precious metals dealer has withdrawn its offer to buy North American Coin & Currency Ltd. of Phoenix for about $3.8 million.

Monex, which sells metals primarily on credit, had wanted to expand the part of its operations that sells metals and currency for cash. North American deals primarily in cash transactions.

The board of the ailing Arizona company had voted in December to vigorously fight the Monex offer and instead seek friendly investors to buy $2.5-million worth of convertible notes.

“The cost of litigation had to be considered,” Carabini said in a phone interview Friday. He said the fact that North American’s board opposed the offer and was attempting to sell the convertible notes to insiders contributed to Monex’s decision to drop the tender offer, launched by the company’s PML Holding Inc. subsidiary on Dec. 11.

“I’ve learned a lot,” Carabini said. “I’m sure if there is any other company out there we have an interest in, this knowledge will be beneficial.”

A spokeswoman for North American said Monex notified the company late Friday. She said that Executive Vice President B. Mills Sinclair would not comment until Monday but that she and other employees are pleased that the Monex offer was dropped.