PERTH (miningweekly.com) – The Foreign Investment Review Board (FIRB) has given its approval for gold miner Evolution Mining’s off-market takeover offer for fellow-listed Phoenix Gold.
Evolution, which currently holds a 19.8% stake in Phoenix, was offering 0.06 of its own shares, along with 6c in cash for each Phoenix share held. The offer valued Phoenix shares at some 12c each and valued the company at A$56.4-million.
Evolution’s offer rivalled a takeover offer for Phoenix from Chinese major Zijin Mining, which was offering 10c a share in cash for all the shares of Phoenix, valuing the company at A$47-million. Zijin’s offer was conditional upon the Chinese company securing at least a 50.1% stake in Phoenix.
Evolution said on Thursday that, with the FIRB approval secured, the company’s takeover offer was now only subject to a limited number of customary conditions, as well as the gold price not falling below A$1 250/oz.
A bidder’s statement would be released in late September.