12/05/2009 - 10:37

WA juniors assess Sylvania's $31m bids

12/05/2009 - 10:37

Bookmark

Save articles for future reference.

Western Australian juniors Great Australian Resources and SA Metals, formerly Pan Palladium, have advised shareholders to take no action to Sylvannia Resources $31 million takeover offers.

Western Australian juniors Great Australian Resources and SA Metals, formerly Pan Palladium, have advised shareholders to take no action to Sylvania Resources $31 million takeover offers.

Late yesterday, Sylvania launched separate bids for the companies, offering one of its shares for every 10 SA Metals shares, valuing the offer at $25.4 million.

Sylvania is offering one of its shares for every 18 Great Australian share, which values the offer at $5.9 million.

Both offers were based on Sylvania's closing price on Monday and are subject to a minimum acceptance condition of 50.1 per cent.

Sylvania is targeting both companies for their assets in the Bushveld Igneous complex in South Africa, where Sylvania holds interests in two tailing retreatment projects.

Sylvania currently holds a 12.89 per cent interest in SA Metals and 19.9 per cent stake in Great Australian.

Shares in SA Metals jumped 3.5 cents to eight cents while shares in Great Australian climbed 0.1 cents to five cents at 12:14 AEST.

Shares in Sylvania were up one cent to $1.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options