8.6 C
New York
Tuesday, September 21, 2021
Home Business Australian company BHP makes takeover bid for Canada's Noront Resources

Australian company BHP makes takeover bid for Canada’s Noront Resources

Another Australian company is moving forward with a takeover bid for Noront Resources, with a cash offer for all outstanding and issued shares of the Canadian company.

Noront’s board of directors is recommending shareholders accept the offer from BHP, which would pay 55 cents cash for each share.

This is the second Noront takeover bid by an Australian company this year. In May, Wyloo Metals offered .315 cents cash for Noront shares.

“This transaction provides a significant premium to Wyloo’s indicative offer, and crystallizes immediate and certain value through an all-cash offer,” Noront CEO Alan Coutts said in a statement.

“After careful consideration, Noront’s board of directors, with input from its financial and legal advisers and the special committee, determined this offer is in the best interests of the company and shareholders.

“BHP has the financial strength, world-class mining expertise, and commitment to work in partnership with stakeholders to advance Eagle’s Nest and the Ring of Fire, which has the potential to deliver benefits to local communities, First Nations, and Ontario for years to come.”

The total equity value of the BHP transaction is $325 million.

“We are pleased that the Noront board has seen the value in our offer and has recommended it to its shareholders,” BHP chief development officer Johan van Jaarsveld said in a statement. “This is a win-win for both BHP and Noront shareholders.

“For BHP, the acquisition of Noront presents a world-class growth option, in a key future-facing commodity,” he said. “The highly prospective Eagle’s Nest nickel project provides an excellent platform from which to develop further opportunities in Ontario’s Ring of Fire. For Noront shareholders, this offer recognizes and realizes the full value of Noront’s portfolio, delivering guaranteed shareholder returns in the near term.”

Noront said the bid will be formally commenced shortly following Tuesday’s announcement. Shareholders will be notified via mail.

Shareholders can tender their shares at noronttender.ca.

Source link

Today news
Today News 1 runs four of the western GTA’s most influential media websites, offering news, food, lifestyle and entertainment coverage for millions to the Golden Horseshoe and GTA regions. The independently-run, online news source was founded in 2019 and specializes in everything from breaking news to food and restaurant, arts and entertainment and lifestyle coverage.


Please enter your comment!
Please enter your name here

- Advertisment -

Most Popular

Netflix in talks to buy Roald Dahl catalogue

Netflix is in talks to acquire the works of Charlie and the Chocolate Factory author Roald Dahl, Bloomberg News reported on Tuesday, citing people familiar with the...

Global economy will suffer as long as rich countries don’t help vaccinate poor ones, OECD warns

A leading international economic watchdog urged developed countries to put more effort into providing low-income countries with coronavirus vaccines in order to ensure...

Winnipeg designer helps customers keep their heads up during pandemic

A Winnipeg headband designer is turning the pandemic blues into beautiful, hand-made headpieces that are spreading across social media and taking off worldwide....

Prairie ranchers take stock of summer drought as decisions about culling cattle loom

Pounded by drought and cattle feed shortages, the last few months have been gruelling for many Prairie ranchers.  Now, as fall approaches and...

Recent Comments