PERTH (miningweekly.com) – Junior Middle Island Resources has varied the minimum acceptance condition for its takeover offer of fellow-listed Alto Metals from 90% to 50.1%.
The ASX-listed Middle Island on Wednesday said that all other conditions for the offer remained unchanged.
Middle Island is offering five of its own shares for every one Alto share held, valuing the takeover target at about A$9.4-million.
Alto owns the Sandstone gold project, which is currently estimated to host some 261 000 oz of gold.
Middle Island also owns the Sandstone project, with an estimated indicated and inferred mineral resource of 537 000 oz, and an exploration target of between 900 000 oz and 1.5-million ounces.
Middle Island on Wednesday reiterated its view that the combination of the two companies’ assets would create material benefits to both sets of shareholders and would create a company with a near-term cash flow potential and considerable production and exploration upside.