Ramelius Resources is on track to complete a $180 million takeover of Apollo Consolidated, having acquired more than half of the explorer’s issued capital.
That includes Gold Road Resources‘ 19.9 per cent shareholding, with the company having accepted Ramelius’ revised cash and scrip deal for Apollo earlier this week.
Gold Road was also seeking to acquire Apollo but recently elected not to increase its offer, despite the target’s board recommending shareholders vote in favour of the Ramelius deal.
This afternoon, Ramelius said it would exercise the control it now had over Apollo, in accordance with its bidder’s statement dated November 1. It has encouraged the remaining Apollo shareholders to accept the company’s cash and scrip offer, which values the target at about $180 million.
Ramelius, which has mining operations in Western Australia, is offering 0.1779 of its shares and 34 cents in cash for every share held in Apollo, with the offer scheduled to close on December 1.
Azure Capital is acting as financial adviser to Ramelius, Allion Partners as legal adviser and Euroz Hartleys as broker.
Deloitte is acting as financial adviser to Apollo and Steinepreis Paganin as legal adviser.
Apollo closed up 1.6 per cent this afternoon to trade at 65 cents a share, and Ramelius closed up 2.6 per cent to trade at $1.77.
