Key Terms - see company announcement for full details .. All-scrip offer of 1 Mineral Resources Limited (MRL) share for every 12.5 Polaris shares .. Equivalent terms for Polaris options .. By recommended takeover, 50.1% minimum acceptance condition .. Board Recommendation .. “Subject to the Independent Expert concluding that the offer is fair and reasonable to Polaris shareholders, the Directors unanimously recommend shareholders accept the offer, in the absence of a superior offer”
Benefits to Polaris shareholders .. An attractive premium .. 42% premium on basis of 1-month VWAP* .. Few conditions .. 50.1% acceptance, no MAC, prescribed occurrences .. Enhanced financial strength .. Combined market capitalisation of $651m* with no debt .. Project and commodity diversification .. Benefit from MRL’sportfolio of iron andmanganese projects .. Continuing exposure to Polaris assets * Market data as at close of business on 14 August 2009, being the last trading day prior to the trading halt in Polaris shares. Assumes 100% acceptance of share offer.
Strategic Partner Process .. Exhaustive process involving Australian and international partners .. Several proposals received for equity injection, partial funding and offtake .. MRL proposal was the best available .. Superior value to shareholders, with ongoing upside .. MRL’sstrong balance sheet and processing expertise allows accelerated step-up to production in the Yilgarn–strengthening Polaris’infrastructure advantage .. Avoids being bound to a single customer/partner –maintaining “corporate appeal”of assets.
POL Price at posting:
30.0¢ Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)