Peak shareholders to receive cash as Shenghe scheme becomes effective
ASX-listed Peak Rare Earths on Friday confirmed that the Supreme Court of New South Wales has approved the proposed acquisition of the company by Shenghe Resources (Singapore), clearing the final condition for the deal to proceed.
Peak said it would lodge the Court’s orders with the Australian Securities and Investments Commission later on Friday, at which point the scheme of arrangement would become legally effective. Peak’s shares are expected to be suspended from trading on the ASX at the close of trade the same day, with payment to shareholders due on September 30.
Under the transaction, Shenghe will acquire all Peak shares it does not already hold for no less than $0.443 a share in cash, valuing the rare earths developer at about A$195-million.
The court approval follows confirmation from the Tanzanian Fair Competition Commission and the Tanzanian Mining Commission earlier this week that they consented to the acquisition, satisfying the key regulatory approvals in that country, where Peak is developing its Ngualla rare earths project.
Peak has rejected a higher, but non-binding, approach from US-based General Innovation Capital Partners, citing a lack of detail and certainty, and reaffirmed that Shenghe’s “best and final” offer remains in the best interests of shareholders.
CEO Bardin Davis recently told investors that the scheme followed a lengthy evaluation of funding options for Ngualla, noting that Shenghe had initially considered a joint venture before shifting to a whole-of-company acquisition to provide greater certainty.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Weir is a global leader in mining technology. We recognise that our planet’s future depends on the transition to renewable energy, and that...
VISIT SHOWROOM
Leading condition monitoring specialists, WearCheck, help boost machinery lifespan and reduce catastrophic component failure through the scientific...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
