PERTH (miningweekly.com) – Suitor TerraCom’s takeover offer for ASX-listed Universal Coal seems to have gained traction with shareholders, despite Universal’s obvious reluctance.
TerraCom on Wednesday announced that acceptances to date, when aggregated with TerraCom’s existing interest in Universal, gave the company over a 51% voting right to Universal shares.
“TerraCom is delighted with the support received for the offer; to already have achieved over 50% of the Universal register within a week of the offer opening speaks for itself,” said TerraCom deputy chairperson Craig Wallace.
“We look forward to welcoming new investors to the TerraCom shareholder register and growing our business together.”
TerraCom last week officially launched its 33.5c a share offer for each Universal share held, consisting of 10c in cash and 0.6026 new TerraCom shares.
However, Universal has said it would launch legal proceedings against the takeover bid, claiming the offer contravened certain principles of the UK City Code on Takeovers and Mergers.