REG - MC Mining Limited - Non-Binding Indicative Offer from Vulcan Resources

MC MiningAnnouncement

08/03/2024 09:45

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RNS Number : 1610G  MC Mining Limited  08 March 2024

ANNOUNCEMENT
                                8 March 2024

 

RECEIPT OF NON-BINDING INDICATIVE OFFER OF BETWEEN A$0.17c AND A$0.20c FROM
VULCAN RESOURCES

 

MC Mining Limited (MC Mining or the Company) confirms that it is in receipt of
a letter (Proposal Letter) from Vulcan Resources (Vulcan). Vulcan is the
operator of the Moatize Coal Mine, the largest operating steelmaking coking
coal mine in Mozambique and Africa.

The Proposal Letter outlines Vulcan's non-binding proposal to make an
off-market cash takeover offer for all the shares in the Company at an
indicative price of between A$0.17 and A$0.20 cents per share valuing the
Company's equity at between A$69.34 million and A$81.58 million (Proposal).

The Proposal contains a number of customary conditions, including completion
of a due diligence process, and is not a binding offer currently capable of
acceptance by shareholders of the Company. The Independent Board Committee
(IBC) notes that the Proposal Letter is at an indicative price range that is
higher than the current takeover offer price of A$0.16 per share by Goldway
Capital Investment Limited. There is no certainty however, that any formal
offer by Vulcan will be received nor the terms thereof.

The IBC reiterates its recommendation to shareholders NOT TO ACCEPT the
current Goldway Capital Investment Limited offer.

The IBC will evaluate the indicative terms of the Proposal Letter, including
taking advice from its financial and Australian and South African legal
advisors, Adelaide Equity Partners Limited as Financial Advisor, K&L Gates
as Australian Legal Advisors and Falcon & Hume Inc. as South African Legal
Advisors.

MC Mining remains committed to keeping shareholders appraised of developments
and intends to make a further announcement when more complete and definitive
details are received.

Khomotso Mosehla

Chairman of the IBC

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulation
(EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of
the European Union (Withdrawal) Act 2018, as amended.

 

This announcement has been approved for release by the Company's Disclosure
Committee.

 

 

 

 

 For more information contact:
             Tony Bevan                     Company Secretary                 Endeavour Corporate Services          +61 42 1072 165
             Company advisers:
             Richard Johnson / Rob Patrick  Nominated Adviser                 Strand Hanson Limited                 +44 20 7409 3494

             Rory Scott                     Broker (AIM)                      Tennyson Securities                   +44 20 7186 9031
             Marion Brower                  Financial PR (South Africa)       R&A Strategic Communications          +27 11 880 3924
             BSM Sponsors Proprietary Limited is the nominated JSE Sponsor

About MC Mining Limited:

 

MC Mining is an AIM/ASX/JSE-listed coal exploration, development and mining
company operating in South Africa. MC Mining's key projects include the
Uitkomst Colliery (metallurgical and thermal coal), Makhado Project (hard
coking coal), Vele Colliery (semi-soft coking and thermal coal), and the
Greater Soutpansberg Projects (coking and thermal coal).

 

 

 

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