Habrok Mining has entered the race to acquire Alto Metals, submitting an off-market takeover offer for all shares in the company.
The 6.6 cents a share offer was made on an unconditional basis. It will not be conditional on due diligence, financing, regulatory approval or further internal approvals.
Habrok is not the only one in the race for Alto Metals, with the target company having also received a conditional takeover bid from Goldsea Australia Mining.
Habrok stated in its letter of intention to Alto Metals that it assumed the Alto board would withdraw its recommendation of the Goldsea offer.
“Habrok expects to lodge its bidder’s statement for the Habrok share offer with Alto over the coming weeks and would look to discuss with Alto an accelerated timetable for the dispatch of bidder’s statement, possibly in conjunction with Alto’s target statement,” the company stated.
Alto Metals has not yet confirmed that it is withdrawing Goldsea’s offer and has stated in an announcement to the Australian Securities Exchange (ASX) that it will consider the impact of the proposal on the Goldsea offers.
“Alto notes its recommendation of the Goldsea Australia Mining takeover offers to acquire the Alto shares and options, as disclosed in Alto’s first supplementary target’s statement dated May 1,” Alto stated.
“Alto will consider the impact of the proposal on Goldsea offers and the Alto board’s recommendation. The Goldsea offers also remain subject to the satisfaction of a number of conditions, including foreign investment review board (FIRB) approval.”
Alto Metals is a Western Australian based company focussed on gold exploration, its key project being the Sandstone gold project in central along the Sandstone Greenstone belt in the East Murchison mineral field.
Habrok, which is also Western Australian based, currently has interests in iron ore and gold projects, including assets in pre-feasibility, production and care and maintenance stages.