PERTH (miningweekly.com) – Junior Emerald Resources has launched another takeover bid for unlisted gold explorer Bullseye Mining.

The company last year gained a 59.32% shareholding in Bullseye after offering shareholders in that company one new Emerald share for every 3.43 Bullseye shares held.

Emerald, which has increased its holding in Bullseye to 60.04%, is now offering one of its own shares for every four Bullseye shares held, valuing the takeover target at around 55c a share.

The two companies have inked a bid implementation agreement, with Bullseye’s independent board committee recommending that shareholders accept the offer in the absence of a superior bid.

Bullseye shareholders Xinhe and Au Xingao have also thrown their support behind the offer, providing Emerald with intention statements confirming that they would accept the offer in the absence of a superior bid.

“Today’s announcement marks a very exciting milestone for Emerald, and we’re delighted that both Xinhe and Au Xingao have signalled their intent to accept the offer for us to acquire their shares in Bullseye,” said Emerald chairperson Simon Lee.

“Capitalising on the combined gold mining and exploration assets in both Cambodia and Australia, Emerald is now poised to consolidate its position as a significant gold miner with an exciting future across two continents.”

Emerald argued that the offer provided the remaining Bullseye shareholders with an attractive, liquid and immediate premium for their shares as well as the opportunity to see Bullseye’s projects developed by an experienced and well-funded gold miner.

“Acceptance of the Emerald offer provides Bullseye shareholders with immediate liquidity to their investment via the ASX and eliminates any future need for those Bullseye shareholders to continue to fund the ongoing development of Bullseye assets or be subject to associated dilution,” said Emerald executive director Peter Burns.

“The highly credentialed Emerald team has a strong, proven, low-cost operational track record, across numerous projects and a history of delivering significant returns to shareholders. We look forward to Bullseye’s assets realising an optimum development pathway with their input.”

The offer is subject to a 75.54% minimum acceptance condition, as well as no regulatory action.