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No increased offer, Northern Star tells Echo shareholders

18th October 2019

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – Gold miner Northern Star Resources on Friday told shareholders of takeover target Echo Resources that it would not be increasing its current 33c a share offer.

Northern Star has gained a majority stake of 59.66% in Echo, which holds the Yandal gold project, in Western Australia.

The miner on Friday reiterated that its current offer represented a 39.4% premium on Echo’s last trading price on August 19, and a 42.1% premium to the company’s ten-day volume weighted average share price, and an 80.3% premium on its 60-day volume weighted average share price.

Northern Star also warned the remaining Echo shareholders that the company would seek to de-list Echo once it has gained an interest of more than 75%, but less than 90%, and once there were no more than 150 remaining shareholders with a marketable parcel of shares.

The takeover offer is set to close on October 28.

Edited by Creamer Media Reporter

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