Phoenix asks shareholders to take no action on Zijin offer
PERTH (miningweekly.com) – The board of takeover target Phoenix Gold have urged shareholders not to take any action regarding the takeover offer from Chinese major Zijin Mining, after the Foreign Investment Review Board granted approval for the takeover.
Zijin had now lodged its bidders statement, offering Phoenix shareholders 10c a share for their shareholdings.
Phoenix executive chairperson Dale Rogers said the company’s directors would review the bidder’s statement and respond formally, but pointed out that the Zijin offer only represented a 2% premium on the company’s closing price of June 19, which was the date Zijin made its intentions for the takeover offer known.
The company had commissioned BDO International to prepare an independent expert report on whether the Zijin offer could be considered fair and reasonable.
In the meantime, Rogers said that Phoenix Gold would continue to engage with other interested parties to consider alternative, value maximising proposals for the company and its assets.
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