Explorer receives HK takeover bid

A HONG Kong-based investment company has made a A$1 million cash off-market takeover bid for Anchor Resources.
Explorer receives HK takeover bid Explorer receives HK takeover bid Explorer receives HK takeover bid Explorer receives HK takeover bid Explorer receives HK takeover bid

Anchor has ground in NSW and Queensland

Staff reporter

Anchor received the off-market 2c per share bid from Phoenix Bridge International Holdings Group on Friday.

The price represents a 53.8% premium to Anchor's last closing price of 1.3c in August last year.

The low-key company has just 52.5 million shares on issue and a market capitalisation of just $683,000.

On Friday, Phoenix Bridge, part of a broader Chinese conglomerate, entered into a deal with Anchor's major shareholder, China Shandong Jinshunda Group Co, to acquire Anchor's debt owed to Jinshunda for $3.7 million, a 77.9% discount to the $15.5 million face value of the debt.

Phoenix Bridge said it had no desire to acquire the debt without obtaining control of the company.

Jinshunda holds a direct and indirect interest of 96.5% of Anchor.

The bidder said it was supportive of Anchor's business strategy and intended to conduct a review of its operations.

Anchor has most recently been focused on exploration in New South Wales' Cobar Basin.

Anchor told shareholders to take no action while the board considers the offer.

The offer will close on April 11, unless extended.

 

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