Australia's Ampella gets USD40.9 takeover bid from Centamin

December 10
5:06 AM 2013

Mining company Centamin Plc has offered to buy Ampella Mining Ltd through an all-scrip USD40.9 million takeover bid, where the company's full shares will be purchased. This was according to a report published by The West Australian.

The said bid was announced after the market closed today. Centamin is offering one of its own shares for every five shares of Ampella. The offer valued Ampella shares at around USD0.16 apiece. This is a 77% premium to its weighted average price for 20 days, the report detailed.

The Centamin offer would put the value of the Ampella firm at USD40.9 million. The Ampella board has already recommended the takeover offer. Taurus Funds Management, the company's biggest stakeholder with 18.88%, has entered into a pre-bid acceptance deal to accept the bid, the report said.

At present, Ampella is developing its Batie West gold project, which has 3.25 million ounces of gold. However, the company has been among the hardest hits during this year's gold plunge. The firm's shares dropped by over half in the past six months. For the past two years, Ampella has been actively searching for a buyer or a joint venture partner, The West Australian reported.

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