Lemur looks to block Bushveld bid

Africa-focused coal explorer Lemur Resources is urging shareholders to reject a $19 million takeover offered by UK-based Bushveld Minerals.

Bushveld has offed three of its shares for every five Lemur shares, an offer that Lemur independent directors Marcello Cardaci and Ryan Lockwood say is neither fair nor reasonable and would dilute their investment.

Messrs Cardaci and Lockwood also expressed concern that Bushveld is listed on London’s Alternative Investment Market and based in Guernsey, and not exposed to the Australian Securities Exchange.

The offer values Lemur 9.9 cents per share, of $19.12 million.

Lemur is currently preparing its targets statement in response to the Bushveld offer.

At 2:00PM, WST, Lemur Resources shares were steady at 4.1 cents.