Sprott Resource Corp. (TSX: SCP) announced today that SRC, along with other principal shareholders of PBS Coals Limited ("PBS"), have reached an agreement with PBS, PBS Coals Corporation, Mining Holding Company, pursuant to which the Offeror has agreed to take up and pay for all common shares tendered into its September 5, 2008 offer at a price of C$8.30 per share and waive all conditions to the Offer.
The expiry time of the Offer was 11:59 pm (Eastern) on October 24, 2008. The Offeror has agreed to take up and pay for the shares tendered into the Offer no later than November 3, 2008, subject to an extension for payment to November 5, 2008 with regulatory approval.
SRC owns 27,144,938 shares of PBS. If the Offeror takes up and pays for the shares under the Offer, after giving effect to the C$84,478,886 price reduction under the Supplemental Agreement, as part of the total price reduction of C$381,960,000 by principal shareholders, SRC will receive net proceeds of C$140,824,099 on the sale of its PBS shares.
"Under the circumstances, we are pleased to be able to resolve the outstanding issues between the parties and reach this agreement", said Kevin Bambrough, President and CEO of SRC. "We would like to thank all the other principal shareholders as well as management of PBS for their cooperation throughout the process." -- www.cnxmarketlink.com
Comment and add to the story without registration, but keep the comments meaningful please. Links are not accepted.
