PERTH (miningweekly.com) – ASX-listed AuStar Gold’s acquisition of Centennial Mining has been approved by both the Court and the Australian Securities and Investment Commission.
AuStar in September this year announced a deed of company arrangement (DOCA) to acquire Centennial, which owns the A1 Gold mine, and which went into administration in March this year.
Under the terms of the takeover offer, AuStar will contribute A$2.4-million in cash to the DOCA, closing the Centennial administration.
Prior to the completion of the DOCA, Centennial and AuStar will enter into a merger agreement, under which AuStar would allocate more than 24.98-million shares, or 31.7% of the company’s total shares, to Centennial shareholders.
AuStar on Tuesday said that the company continued to progress the transaction, which is expected to deliver significant regional consolidation and increase the company’s ore resources while delivering corporate synergies.