Chalco is expected to make the bid for up to 60% of SouthGobi’s common shares but the bid should not be for less than 56% of the company’s shares. The company will pay C$8.48 ($8.48) per share to SouthGobi.
The new date for the bid is on or before 4 Spetember 2012, which was originally intended to be 2 April 2012.
The bid is subject to statutory and regulatory approvals and also from the Canadian and Chinese regulatories and shareholder approvals.
Ivanhoe and Chalco have earlier entered into a lock-up agreement; under the agreement Ivanhoe will tender all of its SouthGobi shares to Chalco.
China based SouthGobi Resources is a coal production and development company while Canadian company Ivanhoes is a mining company focused on copper, gold and coal mines.
