trending Market Intelligence /marketintelligence/en/news-insights/trending/Y7MRysWBjLzxFCAYr8YcJQ2 content
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

In this list

Angang Group consolidating ownership of Gindalbie

Mining Exploration Insights December

Mining Exploration Insights: Dip in gold drilling weighs on results

Mining Exploration Insights: Is the exploration sector back on recovery?

State of the Market: Mining Q2-2019


Angang Group consolidating ownership of Gindalbie

Angang Group Hong Kong (Holdings) Ltd. looks to consolidate the ownership of Gindalbie Metals Ltd. by acquiring the remaining shares it does not own for 2.6 Australian cents apiece.

The offer price represents an 89.78% premium to Gindalbie's 30-day volume-weighted average price, according to a March 11 release. Angang currently owns 535,492,521 shares in Gindalbie, representing a 35.71% interest. Gindalbie said its board unanimously recommends Angang's takeover bid.

In connection with the deal, Gindalbie plans to demerge its Coda Minerals Ltd. unit via a capital reduction. If implemented, Gindalbie shareholders will receive a pro-rata distribution of Coda shares for every Gindalbie share they hold on the demerger's record date at a ratio to be confirmed.

Gindalbie said the demerger plan would allow Coda to focus on developing the Mount Gunson copper-cobalt project in South Australia, which Coda would hold, and explore other projects without being exposed to Gindalbie's liabilities in the Karara iron ore project in Western Australia totaling A$231 million.

In 2014, Gindalbie wrote down the carrying value of its interest in Karara to zero as the project is unlikely to generate sufficient profits for the company.

Coda would also have about A$10.6 million in cash, less any expenditure on Mount Gunson since June 2018, if the demerger is approved. Anshan Iron and Steel Group Co. Ltd. owns 52.16% of Karara.

Gindalbie said Angang supports the proposed demerger, which is also unanimously recommended by the former's board.

Gindalbie shareholders can vote on the two proposed schemes at court-convened meetings, while they can vote on the planned capital reduction on a separate general meeting. The meetings will be held at the same time, with dates still unknown.

The transactions are expected to take effect in late June.