Ramelius Resources has received acceptances for 47.36 per cent of Musgrave Minerals shares.
In early July, Ramelius Resources and Musgrave Minerals entered into a bid implementation agreement, in accordance with what Ramelius would offer to acquire all the issued ordinary shares of Musgrave through a cash and scrip off-market takeover offer.
Under the terms of the offer, Musgrave shareholders would receive one Ramelius share for every 4.21 Musgrave shares held, plus $0.04 cents in cash for every Musgrave share held.
The offer values each Musgrave share at $0.34, based on the one-day volume weighted average price of Ramelius shares of $1.263 on June 30, and implies a total undiluted equity value for Musgrave of approximately $201 million.
Ramelius has now extended its offer period until September 15, 7:00pm. This was done to provide remaining Musgrave shareholders time to accept the offer.
“Musgrave shareholders are reminded that Ramelius’ offer of 1 Ramelius share for every 4.21 Musgrave shares held plus $0.04 cash per Musgrave share is the company’s best and final offer and will not be increased unless there is a competing proposal,” Ramelius said.
“This means that Ramelius will not increase its offer consideration further, but it reserves the right to do so if a competing proposal for Musgrave is publicly announced.”
Ramelius said that all conditions under the offer will be waived once its relevant interest in Musgrave reaches 50.1 per cent.
“Ramelius can, and may, exercise its right to waive any or all of the conditions prior to reaching 50.1 per cent,” Ramelius said.
Previously, Musgrave knocked back a competing offer from Westgold Resources. In early July, Westgold advised the market that it did not intend to increase its takeover offer for Musgrave in the wake of Ramelius’ superior offer.