JOHANNESBURG (miningweekly.com) – Aim-quoted Stratex has received a request from a group of shareholders to convene a general meeting over the proposed acquisition of Crusader Resources.
The shareholders want the company to terminate the proposed transaction, which was first mooted in May, and they also want to make certain board changes.
“The board of the company is advised that the request is currently invalid and will make a further announcement in due course,” Stratex said in statement released on the Regulatory News Service of the London exchange on Friday.
Stratex and Crusader entered into a heads of agreement to merge in May this year and entered into a binding agreement in June. In terms of the agreement, Stratex will buy ASX-listed Crusader in an all-scrip transaction, which values the company at A$54-million. Stratex offered 6.6 common shares for each Crusader share, which was a 56.5% premium to Crusader’s trading price at May 17. Following the proposed deal, Crusader will own an 81% interest in the combined company.
News of the meeting request comes a day after Stratex announced that it had completed a due diligence review of Crusader’s Borborema gold project, in Brazil, and that the sale of its Posse iron-ore mine, also in Brazil, was progressing as planned to allow for a greater focus on gold assets.
Shares in Stratex tumbled 16% on Friday, trading at 1.12p by mid-morning.