Robust shareholders advised to accept takeover offer
PERTH (miningweekly.com) – Gold miner Robust Resources on Wednesday advised shareholders to accept a joint takeover offer from Stanhill Capital Partners Holdings and Droxford International.
The two parties last month announced that they would make a 49c a share takeover offer for Robust Resources, replacing Stanhill’s solo takeover offer of 31.5c a share.
The joint offer represented a 56% improvement over the Stanhill offer, and a premium of 123% to Robust’s price prior to the original announcement, the miner pointed out.
The joint offer valued Robust at around A$95.7-million.
Robust on Wednesday told shareholders that on condition of an independent expert recommendation, the company would advise shareholders to accept the offer.
“The board has worked very hard since the initial approach from Stanhill to secure an improved offer for shareholders. The board is pleased with this outcome, which provides shareholders with the opportunity to cash out now for a substantial premium,” said Robust chairperson David King.
The bidders currently had a combined shareholding of 46.6% in Robust. The takeover offer was being made through bidding vehicle Padiham Resources, in which Droxford owns a 75% share and Stanhill the remaining 25% interest.
The joint takeover offer was subject to a 50.1% minimum acceptance condition.
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