Golden Investment's stake in Stanmore jumps

7th April 2020 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Takeover target Stanmore Coal has again urged shareholders not to take any action in relation to a takeover offer from suitor Golden Investments, after its shareholding in the company increased from just over 31% to around 51%.

Golden Investment last week launched a takeover bid for Stanmore, offering shareholders A$1 in cash for every share held.

ASX-listed Petra Capital, which is acting on behalf of Golden Investments, said that it would purchase up to a maximum of 50.31-million Stanmore shares on-market at the offer price, prior to the start of the offer period on April 17.

The offer period will end on May 18, unless extended or withdrawn.

Stanmore on Tuesday said that the company’s board had formed a committee of independent directors to consider the offer and to provide a recommendation to shareholders, and urged shareholders not to take any action in relation to the offer until a recommendation has been made.