PERTH (miningweekly.com) – Metals miner Independence Group will allow its takeover offer for fellow-listed Panoramic Resources to lapse at the close of the takeover offer on January 17.
Panoramic had previously rejected the Independence offer, under which Independence was offering one of its own shares for every 13 Panoramic shares held, valuing the takeover target at A$312-million.
Instead, the takeover target in December launched a one-for-six accelerated pro-rata non-renounceable entitlement offer to raise A$31-million, priced at 30c a share, to fund repayment of debt and the continued development of the Savannah North orebody.
The capital raised triggered a defeating condition for the Independence offer.
“Independence’s decision to allow the offers to lapse reflects our disciplined approach to mergers and acquisitions, and Independence will continue executing its growth strategy with a focus on returns and value creation for our shareholders,” said Independence CEO and MD Peter Bradford on Thursday.