Afferro Mining approached by International Mining and Infrastructure Corporation
Afferro Mining confirmed Monday reports that the iron ore development company was approached by International Mining and Infrastructure Corporation (IMIC).
Afferro Mining confirmed Monday reports that the iron ore development company was approached by International Mining and Infrastructure Corporation (IMIC).
Last week it was rumoured that Afferro had received a takeover offer of £140m, almost 50% of the group's current market value.
Afferro - owner of three iron ore mining projects in West Africa - said it received an initial approach from IMIC but no formal offer was made yet.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
IMIC - which already has a 3.9% stake in Afferro - is willing to offer between 115p to 140p per share, subject to conditions.
Shares were up 14.88% to 105.88p at 08:10 Monday.
The consideration would be satisfied with an undisclosed mix of cash and new IMIC shares.
"The approach from IMIC is at a very early stage and there can be no certainty that a formal offer will be forthcoming," Afferro said in a statement.
"In addition, Afferro continues to have discussions with other interested parties regarding a possible offer for the issued and to be issued share capital of Afferro."
Afferro said it is currently under exclusive obligations with another party which precludes the company from engaging in discussions with IMIC until January 13th.
The firm advised shareholders to hold back on taking any action until it reaches an agreement.
RD
Sign up for MoneyWeek's newsletters
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
-
What happens if you can’t pay your tax bill, and what is "Time to Pay"?
Millions are due to file their tax return this Friday as the self-assessment deadline closes. Though the nightmare is not over until you pay the taxman what you owe - or face a penalty. But what happens if you can't afford to pay HMRC your tax bill, and what is "Time to Pay"?
By Kalpana Fitzpatrick Published
-
What does Rachel Reeves’s plan for growth mean for UK investors?
Rachel Reeves says she is going “further and faster” to kickstart the UK economy, but investors are unlikely to be persuaded
By Katie Williams Published