96% Of Voting Shareholders Approve Shubarkol Coal Buy

1 min read

The FINANCIAL — U.K.-listed Eurasian Natural Resources Corp PLC Monday said that more than 96% of its voting shareholders approved the purchase of Kazakhstan coal produce Shubarkol Komir JSC from ENRC's founding shareholders.

 

ENRC is now allowed to exercise the option to purchase the remaining 75% of shares it doesn't already own in Shubarkol for about $600 million in cash plus the assumption of $50 million in debt.

ENRC had postponed the decision to exercise the option in November due to volatile market conditions and was able to secure an extension on the option beyond a Jan. 31, 2012 expiry date.

According to Borsa Italiana – London Stock Exchange Group, in a bid to reassure the company's minority shareholders that the deal was fairly valued, two fairness opinions were secured, one from Credit Suisse on ENRC's behalf, and another from Lazard & Co. on behalf of the company's nonexecutive independent board members.

At 1243 GMT, ENRC's shares were down 0.9%, or 5 pence, at 587 pence, giving a market capitalization of GBP7.56 billion.

 

 

Leave a Reply