Canada-based nickel miner Noront Resources has confirmed it has received an acquisition proposal from Andrew Forrest-chaired mining vehicle Wyloo Metals.
The deal, which will value Noront at about CA$133 million (AU$142 million) if approved by shareholders, would give Wyloo complete control of the company’s Eagle’s Nest, Blackbird and Black Thor nickel mines in the Canadian province of Ontario.
Noront Resources today noted the offer and said it would review the terms of the proposal.
It noted, however, that the proposal did not constitute an offer.
“As an unsolicited proposal by an insider of the corporation, shareholders will be entitled to receive a valuation of the corporation in order to consider the proposal,” the company said.
“Further, if the proposal is ever formally made to shareholders, shareholders will have a period of 105 days to consider their alternatives and respond to any such offer and will be provided with advice to shareholders in relation to such offer.”
Wyloo Metals currently holds a 23 per cent stake in Noront through its Canada-based holdings company.
It is part of Mr Forrest's rapidly expanding private company Tattarang, which has interests spanning agribusiness, energy, tourism and hospitality.