Shandong has deadline to match Cardinal offer
PERTH (miningweekly.com) – Suitor Shandong Gold Mining will have until September 7 to match an increased offer for ASX- and TSX-listed Cardinal Resources.
Cardinal shareholder Nordgold this week increased its all-cash offer for Cardinal shares from 60c a share to 90c a share, revealing on Thursday that its stake in Cardinal now stood at 28.5%.
Cardinal has urged shareholders not to take any action on the increased Nordgold offer, with the company having previously backed Shandong’s 70c a share offer.
Cardinal told shareholders on Thursday that, under the provisions of a bid implementation agreement inked with Shandong, the suitor would have until September 7 to match the Nordgold offer, but was under no obligation to do so.
Furthermore, the company noted that as a result of the revised Nordgold offer, Cardinals’ directors who own or control shares in the company would not be accepting the current Shandong bid, but added that the acceptance intention would remain until Shandong’s matching rights had been exhausted.
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