Metal Tiger plc (LON: MTR), the London Stock Exchange AIM listed investor in strategic natural resource opportunities, has this morning noted the announcements made today by MOD Resources Ltd (LON / ASX: MOD), in which Metal Tiger has a 19.9% interest.
The MOD announcements, links to which are set out below, note that, at both the General Meeting and the Scheme Meeting held earlier today, MOD shareholders have approved, by the requisite majorities, the scheme of arrangement by which Sandfire Resources NL will acquire all of the ordinary shares of MOD.
The Scheme remains subject to a number of conditions as set out in the Scheme Implementation Deed (a full copy of which is disclosed within the Scheme Booklet, which is available on the ASX website at www.asx.com.au and on MOD’s website at www.modresources.com.au), including:
• the Supreme Court of Western Australia approving the Scheme (Second Court Hearing);
• the independent expert continuing to conclude that the Scheme is in the best interests of shareholders; and
• the satisfaction or waiver of any remaining conditions prior to the Second Court Hearing.
Subject to these remaining conditions being satisfied or waived, implementation of the transaction is expected to occur towards the end of October 2019.
The full text of the MOD announcements can be read using the following link:
Subject to the condition of the Supreme Court of Western Australia approving the Scheme (Second Court Hearing), it is the intention of the Metal Tiger Board to send out a notice of a general meeting of shareholders to seek approval from Metal Tiger shareholders for a share buyback facility shortly after such date.
Michael McNeilly, Chief Executive Officer of Metal Tiger commented:
“The closing of the acquisition of MOD shares by Sandfire resources is an important point in Metal Tiger’s history and allows the Company to retain its unique interest in the Kalahari Copper Belt, which should drive further share price growth in addition to the rest of its portfolio, whilst also allowing the Company to consider future cash deployment. With this in mind, the Company is considering future investments and believes that investing in itself, via a share buyback, could be the best use of capital for the Company. Eliminating discount to the net asset value of the business is a key focus of the Board and we look forward to updating the market on this workflow and the closing of the deal in due course.”