Emerging silica developer and explorer Diatreme Resources has made a takeover bid for all ordinary shares in Metallica Minerals.
The offer will see Metallica shareholders receiving 1.3319 fully paid ordinary shares in Diatreme for every one ordinary share held in Metallica.
“Diatreme intends to put this offer directly to Metallica shareholders on the basis that it represents a compelling opportunity for the shareholders of both Metallica and Diatreme,” Diatreme chairman Wayne Swan said.
“We are grateful for the early support shown for this offer by Sibelco Asia Pacific, a major shareholder of both Metallica and Diatreme.”
Diatreme chief executive officer Neil McIntyre said the acquisition of Metallica aligns with Diatreme’s strategy of building a world class asset portfolio.
“This is a regional consolidation of proximate, significant, high quality silica assets in the Cape Flattery region, providing the opportunity for sensible progressive project planning, permitting and implementation, whilst further broadening available export optionality within Cape Flattery regionally,” he said.
“Further, Diatreme has the financial capacity, technical expertise, industry partners and third-party stakeholder relationships required to advance the silica assets of the combined entity in the interest of all combined shareholders with the aim of bringing the projects into timely production.”
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