Panoramic Resources Ltd.'s shares were up 5% by Dec. 23 ASX trading close after independent experts from KPMG appointed by the company determined that the takeover offer from Independence Group NL was fair and reasonable in the absence of a superior proposal.
The company recommended shareholders take no action until the board completes its review and comes up with a response, expected in January 2020.
Previously, the target's board unanimously recommended shareholders reject the off-market offer.
Panoramic noted that according to the independent experts' report, the offer would fall below their range of assessed fair value if Independence's share price fell below A$5.97 per share.
Moreover, the assessed value of Panoramic's shares of 45.9 Australian cents to 52.1 cents per share only has a minor overlap with the consideration value of the offer of 44.6 cents to 47.3 cents per share, the company added.
Panoramic said it is also in discussions with other third parties, however no other proposal has yet been received.