Gold Star Minerals has developed an offer of $ 150 million to acquire the remaining 49% stake in East Kundana (JV), a joint venture in Western Australia.
The 49% stake in the common market is together with Tribune Resources and Rand Exploration, which are located in ASX, both of which have faced a statement of unacceptable circumstances in connection with a past and ongoing violation of the Corporate Law regarding non-disclosure of share control.
Northern Star, interested in both companies, said on Tuesday that in light of the panel's statement, the company believed that the $ 150 million bid for Kundana JV's interest was a fair and reasonable outcome for Tribune and Rand shareholders.
"The $ 150 million bid offers a compelling, front value of Tribune and Rand. The money offer to buy the asset is a direct and clear means for Tribune and Rand shareholders to reveal the value of their company's interests," said Northern Star Executive Bill Beament.
"This combination of factors makes our offers a fairer, simpler and more transparent opportunity for Tribune and Rand shareholders than alternative routes."
Northern Star intends to acquire a 36.75% stake in Tribune in a joint venture for $ 112.5 million and Rand 12.25% interest for $ 37.5 million in cash.
The completion of each asset purchase will be subject to approved shareholders as well as approval by the Ministry. Bids are not mutually conditional.
Northern Star has informed shareholders that the company has been fully funded to continue with one or both transactions, subject to this condition, after completion of the transaction, which was scheduled for end January 2019.
Creamer Media Senior Researcher and an online editor