The Noront board of directors has determined that the proposal from Wyloo Metals Pty Ltd ("Wyloo") to acquire up to 100% of the shares of Noront for C$1.10 in cash per share is a "superior proposal"
BHP announces it will not match Wyloo's proposal to acquire Noront. (Credit: Ashton 29/Wikipedia.org)
BHP Lonsdale Investments Pty Ltd (“BHP Lonsdale”), a wholly owned subsidiary of BHP, today announced that it will not increase or extend its offer for Noront Resources Ltd. (“Noront”).
BHP Chief Development Officer, Johan van Jaarsveld, said: “BHP is committed to its strict capital discipline framework. While the Eagle’s Nest deposit is a promising resource, we do not see adequate long-term value for BHP shareholders to support an increase in BHP’s offer in order to match the C$1.10 per share proposal from Wyloo Metals Pty Ltd.”
The Noront board of directors has determined that the proposal from Wyloo Metals Pty Ltd (“Wyloo”) to acquire up to 100% of the shares of Noront for C$1.10 in cash per share is a “superior proposal” under the support agreement between Noront, BHP Lonsdale and BHP Western Mining Resources International Pty Ltd, and as a result BHP Lonsdale has a right to match Wyloo’s proposal. BHP Lonsdale has determined it will not match Wyloo’s proposal.
Source: Company Press Release