Photo by: Bloomberg
PERTH (miningweekly.com) – Coal miner Stanmore Coal on Thursday urged shareholders not to take any action in relation to an on-market takeover offer from shareholder Golden Investment.
Golden Investment has launched a takeover bid for Stanmore, offering shareholders A$1 in cash for every share held.
ASX-listed Petra Capital, which is acting on behalf of Golden Investments, on Thursday said that it would purchase up to a maximum of 50.31-million Stanmore shares on-market at the offer price, prior to the start of the offer period on April 17.
The offer period will end on May 18, unless extended or withdrawn.
The on-market offer represented a 22% premium to Stanmore’s last closing price and a 27.3% premium to the company’s 30-day volume weighted average share price to April 1.
Stanmore told shareholders that the company would provide a recommendation on the takeover offer in due course, and advised that shareholders who immediately accepted the offer would be unable to participate in any subsequent increases in the offer price.
Golden Investments currently holds a 31.35% interest in Stanmore, with Stanmore having more than 256-million shares.