Bullabulling Gold’s (ASX:BAB, LON:BGL) directors have changed their recommendation on the bid from Norton Gold Fields and now advise shareholders to accept.
In a statement, the board said while they still believe the A8c (4.2p) per share final offer materially undervalues the company, Norton effectively is in control already with 41.35% acceptances.
“Despite Bullabulling's very best efforts, there have been no alternative or better offers presented for Bullabulling and with Norton's relevant interest increasing to 41.35%, the prospects for progressing an alternative transaction are materially diminished.”
The offer from Norton Gold, which is majority-owned by Zijin Mining of China, closes on 16 July.
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