Incredibly gutsy move. Like it.Sydney - Wednesday - May 7: (RWE...

Incredibly gutsy move. Like it.

Sydney - Wednesday - May 7: (RWE Australian Business News) -
Enterprise Energy Ltd (ASX:EPE) has signed a heads of agreement whereby
it will acquire the legal and beneficial right to all issued shares in
Bandanna Coal Pty Ltd, subject to shareholder approval, for $235m as at
March 31 with adjustments for accounts up to May 9.
Bandanna is a private company which has extensive coal
exploration interests with near-term production potential in highly
prospective portions of the Bowen and Galilee basins of Queensland.
It is headed by Mr Jeremy Barlow, formerly a principal of Barlow
Jonker, founding director of CH4 Gas Ltd and currently a non-executive
director of Arrow Energy Ltd (ASX:AOE).
Bandanna's issued capital is held by nine shareholders.
The Bandanna group holds 11 Eexploration Permits for Coal (EPCs)
with applications for a further five (EPCAs), including several which
are currently subject to farmins both by Enterprise and third parties.

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Consideration for the proposed transaction will be by the issue
of about 2.9375bn shares in Enterprise, at a nominal value of 8c each.
This will represent 94pc of the then issued capital of
Enterprise, prior to any new capital being raised.
ABN AMRO Morgans has been retained as corporate adviser to the
proposed transaction and a proposed capital raising of the order of
$40m, subject to shareholder approval and the usual commercial
considerations and market conditions.
If the transaction is approved by shareholders, it would amount
to Enterprise undertaking a change in its activities and it would be
required to comply with chapters 1 and 2 of the ASX Listing Rules.
Also, trading would be suspended following shareholder approval
of the proposed transaction, until the requirements of chapters 1 and 2
are satisfied.
The indicative timetable for the proposed transaction is for
shareholder approval to be sought at a general meeting to be held by
June 30, and for the requirements of the Listing Rules to be satisfied
as soon as practicable after the shareholder approval has been obtained.
Enterprise shares are currently suspended and are expected to be
reinstated before the start of trading on Thursday May 8.