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Viking Ashanti takes majority share in Auminco

30th April 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Junior Viking Ashanti has gained a majority shareholding in takeover target Auminco Mines, prompting an extension of the takeover period until May 23.

The company said on Wednesday that it had now received acceptances for about 90.96% of Auminco.

In November last year, Viking Ashanti launched a takeover for the Mongolia-focused Auminco, offering shareholders about 129.7-million shares, which would have resulted in that company holding a 59% interest in the enlarged entity, with Viking’s current shareholder base retaining a 41% interest.

However, the agreement was amended in December last year, and resulted in Viking proposing to acquire all Auminco’s shares in return for 61.2 of its own shares, and 20.4 of its options, for every 100 Auminco shares held. This meant that Viking would acquire Auminco in exchange for 81-million shares and 27-million unlisted options.

The directors of Auminco have backed the new offer, saying it would improve the company’s liquidity.

Edited by Creamer Media Reporter

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