PERTH (miningweekly.com) – Gold miner Gold Road Resources has increased its shareholding in fellow-listed De Grey from 14.45% to 19.99%, but has said it had no immediate intentions to launch a takeover offer.
Gold Road this week said that its acquisition of further shares in De Grey was consistent with the company’s stated strategy to grow and diversify its growth pipeline.
“At this stage, this shareholding is seen as a long-term investment and Gold Road does not intend to make a takeover bid or other offer for De Grey, but Gold Road reserves its right to do so and to make further investments in De Grey at any time,” the company told its shareholders.
Gold Road acquired its initial holding in De Grey through the A$308-million takeover of DGO Gold earlier this year. DGO also owned a 6.8% interest in Dacian Gold and a 20.1% interest in Yandal Resources.
Dacian gold is currently the target of a takeover bid from ASX-listed Genesis Minerals, which is offering 0.0843 of its own shares for every Dacian share held.
De Grey for its part told shareholders on Friday that the company would continue to focus on the delivery of its strategy to become a Tier 1 gold producer from its Mallina gold project and remained on track for the release of a prefeasibility study in the September quarter.