Miner’s PanAust stake lifts to 76pc

 CHINESE miner Guangdong Rising Asset Management (GRAM) has acquired 76 per cent of PanAust shares, solidifying its hold on the copper miner after last week increasing its stake incrementally from 55.6 per cent.

In the latest update of the acquisition of the Australian miner’s shares by GRAM, PanAust stated that as at Monday, GRAM had exceeded more than half of the total interest shares held, resulting in the offer period being extended to another two weeks for the remaining shareholders.

According to a company statement, all independent PanAust directors had accepted or intended to accept the GRAM offer and had urged all the remaining shareholders to take it.

GRAM had indicated that it intended to acquire any outstanding PanAust shares.

Although having more than half of PanAust share, GRAM would not be entitled to acquire the remaining shares that have not been accepted into the offer, PanAust stated. 

PanAust said that GRAM can only be able to compulsorily acquire these shares if it manages to have in its possession, more than 90 per cent of shares. With the ownership of 76 per cent, GRAM is now unrestricted to cast the majority of 

votes at a general meeting of PanAust, enabling it to control the composition of PanAust’s board of directors and senior management.

PanAust stated that this would see GRAM control the strategic direction of the business of PanAust and its subsidiaries.

PanAust is the lead developer of the Frieda River copper-gold project in West Sepik.