JOHANNESBURG (miningweekly.com) – JSE-listed mid-tier miner Metorex now owns 87,1% of the Aim-listed Copper Resources Corporation (CRC), the company announced on Friday.
Metorex recently subscribed for an additional 246,58-million shares in CRC through the conversion of its loan. However, as a consequence of the disenfranchisement of the Central African Mining & Exploration Company's interest in CRC, Metorex had an effective economic interest in CRC of 99,99%.
Metorex had extended loans of about $29,5-million to CRC as at January 31, 2009.
The conversion of a portion of this loan into equity resulted in Metorex holding over 87% of the enlarged issued share capital of CRC. The offer for subscription was not underwritten.
The Metorex board of directors believed that the opportunity to own 87% of CRC allows for further potential value creation for its shareholders.