[miningmx.com] – COAL of Africa (CoAL) has set aside March 3 for a general meeting at which shareholders will vote on the firm’s proposed $91m reverse takeover of Universal Coal.
The offer, comprised of A$0.20c/share in cash and one new CoAL share per Universal share, trumps the A$0.16c/share hostile takeover attempt of Universal’s 29.9% shareholder, IchorCoal, which was made on August 21.
“This proposed transaction creates a platform that combines producing assets and near term projects from Universal’s assets with Coal of Africa’s flagship medium term hard coking coal development projects,” said Bernard Pryor, CoAL’s chairman.
IchorCoal said last week it would not extend its cash offer for Universal Coal shareholders had had enough time to consider the detail of IchorCoal’s offer and there is a reduced possibility of the deal being accepted due CoAL’s higher offer.
“IchorCoal retains a strategic shareholding in Universal Coal and will continue to work with Universal Coal as an independent listed company to maximise value for all shareholders,” said Nonkululeko Nyembezi-Heita, CEO of IchorCoal.
