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Sunbird offer withdrawn

17th December 2015

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – South Africa-focused Sunbird Energy on Thursday told shareholders that an indicative takeover proposal from Glendal Power & Industries had been withdrawn.

In July this year, the ASX-listed Sunbird received a takeover offer from South African power infrastructure company Glendal Power, under which Glendal was offering A$0.18 a share for Sunbird’s shares, valuing the company at some A$25-million.

The proposal had been subject to a number of conditions, including due diligence, third-party financing arrangements and Glendal achieving a minimum acceptance of at least 51% of all Sunbird shares on issue.

Sunbird on Thursday gave no reason for Glendal’s withdrawal, but noted that discussions between the two parties have now ceased.

Sunbird was currently developing its Ibhubesi natural gas project offshore of the Western Cape, and had already executed a term sheet with power utility Eskom to deliver up to 30-billion cubic feet a year of gas to the Ankerlig power station, near Cape Town, for a period of up to 15 years.

Edited by Creamer Media Reporter

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