Avoca Resources has acquired more than 90% of Dioro Exploration and will now complete the compulsory acquisition of the remaining shares.
In an announcement released yesterday, Avoca said it had acquired 91.27% of Dioro with a week remaining until its offer elapses on 2 March.
The company has urged shareholders to accept the offer before the close date, in order to receive payment within three business days.
“Dioro shareholders that wait to have their shares compulsorily acquired will not receive the benefit of Avoca’s accelerated payment terms and consequently may wait several weeks longer to receive their payment of cash and shares,” the company said.
Avoca chairman Robert Reynolds said the milestone was significant for the shareholders of both companies and the Australian gold industry.
“Avoca will now have the dominant position in Australia’s richest gold belt, the Kalgoorlie to Norseman belt,” he said.
“We will have multiple producing mines feeding two processing plants and we are expecting to produce more than 270,000 ounces of gold per annum.”
Avoca is offering 65 cents cash and 0.325 shares for each Dioro share.