04/12/2007 - 16:32

Palmary ups bid for ConsMin

04/12/2007 - 16:32

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Palmary Enterprises (Australia) Pty Ltd will increase its unconditional cash takeover offer for all shares in Consolidated Minerals Limited to $5.

Palmary Enterprises (Australia) Pty Ltd will increase its unconditional cash takeover offer for all shares in Consolidated Minerals Limited to $5.00 per CSM share.

Pallinghurst Resources Australia Ltd has approached Palmary and has indicated that it intends to accept Palmary's increased offer for all of its current holdings of CSM shares, and will not extend or increase its takeover offer for CSM.

Earlier last month, the ConsMin board backed Palmary's revised offer of $4.70 per share, valuing the target at $1.083 billion at the time.

 

The full Palmary announcement appears below:

PALLINGHURST TO ACCEPT PALMARY'S OFFER

Palmary Enterprises (Australia) Pty Limited (ACN 127 662 275) ("Palmary") today announced it will increase its unconditional cash takeover offer for all shares in Consolidated Minerals Limited ("CSM") to $5.00 per CSM share.

Palmary also announced that its increased offer price of $5.00 per CSM share constitutes its last and final offer price, save that Palmary may increase (or announce a conditional or unconditional intention to increase) its offer price if an alternative or competing proposal for control of, or for the acquisition of a substantial interest in, CSM (or all or part of the business, or any significant assets, of CSM) is made, publicly announced, or publicly foreshadowed or contemplated by any person.

As a result of the increase in Palmary's offer price, Palmary's offer will automatically be extended and scheduled to close at 7pm (Melbourne time) on the date which is 14 days after the formal notice of variation in respect of the price increase is despatched to CSM securityholders. Palmary will commence despatch of the notice as soon as practicable and consequently expects that its offer will be scheduled to close at 7pm (Melbourne time) on 20 December 2007. Palmary may extend the closing date of its offer further.

Palmary has the ability to fully fund the increased offer price.

Pallinghurst Resources Australia Limited has approached Palmary and has indicated that it intends to accept Palmary's increased offer for all of its current holdings of CSM shares, and will not extend or increase its takeover offer for CSM.

Palmary's President, Mr Gennadiy Bogolyubov, said:

"Palmary's unconditional $5.00 cash offer will be the highest and only offer available to CSM shareholders."

"It's time to accept. CSM shareholders have waited long enough."

"The CSM Board has unanimously recommended that CSM shareholders accept Palmary's unconditional cash offer, in the absence of a superior offer. The CSM Board has also unanimously recommended that CSM shareholders do not accept Pallinghurst's offer."

Palmary reserves the right, for the purposes of section 611 of the Corporations Act and Market Rule 20.3.1, to make further acquisitions of CSM shares from time to time, on-market and at any price that Palmary considers appropriate, but having regard to Palmary's statements set out in this announcement.

If CSM shareholders have any questions in relation to Palmary's offer, they should call the Palmary Offer Information Line on 1300 134 073 (for callers within Australia) or +61 3 9415 4688 (for callers outside Australia).

 

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