EganStreet Resources Ltd (ASX:EGA) has had the takeover offer from Silver Lake Resources Limited (ASX:SLR) declared unconditional with Silver Lake now holding more than 40% of shares, above the 38% threshold.
This means that Silver Lake has increased the offer to 0.431 of its shares for each EganStreet share held and values EganStreet at 50 cents per share which implies a $68 million transaction enterprise value.
The new consideration represents an increase in value relative to the 0.27 Silver Lake shares for each EganStreet share contemplated in the Bidders statement dated August 14, 2019.
It also exceeds the 0.4 shares offered in an improved offer made on Monday this week, although it is one of the stated conditions of that offer.
Payment of the consideration will be made within seven days of receipt of valid acceptances or within seven days of the offer being declared unconditional for those that have already accepted the offer at that time.
“Pleased” with agreement
At the time of the improved offer, EganStreet managing director Marc Ducler said, “We are pleased to have reached an improved agreement with Silver Lake.
“We believe this offers shareholders the best possible chance to realise the full value of the work we have completed in advancing the Rothsay project to its current position.”
EGA said in a statement: “By accepting the improved offer, EganStreet shareholders will benefit by maintaining a level of exposure and share price upsidRead More – Source