Norton receives $33m takeover offer

Perth-based gold producer Norton Gold Fields says it has received a $32.7 million takeover proposal from its majority shareholder Zijin Mining Group.

“The proposal is to acquire all of the shares for 20 cents per share by way of a scheme of arrangement,” Norton said in a statement.

“A committee comprising Norton’s independent directors has been appointed to consider the proposal.”

Zijin Mining, a Chinese gold, copper and non-ferrous metals producer, currently owns 768.1 million Norton shares, which adds up to an 82.4 per cent interest in the company.

At the time of the announcement, Norton’s shares were trading at 14.5 cents per share.

“There is no certainty, nor guarantee, that the proposal will proceed and Norton shareholders do not need to take any action in relation to the proposal at this stage,” Norton said.

In December, Norton took a 10.8 per cent stake in emerging Western Australian gold company Phoenix Gold for $3.3 million, but clarified it had no “present intention” to make a takeover offer.