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Centamin extends Ampella offer

Centamin extends Ampella offer

Photo by Bloomberg

10th March 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Junior Centamin West Africa Holdings has again pushed back the deadline for its acquisition of fellow listed Ampella Mining, this time until March 24.

The offer was declared unconditional in February this year, and the offer period extended until the end of that month. Centamin has vowed not to increase its offer price for Ampella.

In December, Centamin launched a one-for-five share offer for Ampella, valuing the African explorer at around A$40.9-million. The offer price represented a 113% premium to Ampella’s closing price at December 6, and a 77% premium to the 20-day volume-weighted average price.

Centamin had previously told Ampella shareholders that the deal would result in a significant gold production company, with Centamin's significant cash resources and expected future cash flows from its Sukari gold mine, in Egypt, providing “a high level” of funding certainty in the current challenging market environment.

Centamin currently holds an 84.8% interest in Ampella.

Edited by Creamer Media Reporter

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