Universal Coal refers to the Australian Securities Exchange announcement released on 18 September, stating that Universal had received a conditional, non-binding indicative offer (NBIO) from a consortium of investors led by a private entity incorporated in South Africa, Ata Resources Proprietary Limited.
By way of update to the initial announcement, Universal advises that it has received a binding, conditional commitment to make an offer from Ata Resources on behalf of the consortium under which, the consortium, through a special purpose bidding company (BidCo), proposes to acquire the entire issued, and to be issued, share capital of Universal for a cash consideration of AUS$0.35 per share. This is to be effected by means of a scheme of arrangement pursuant to Part 26 of the United Kingdom Companies Act 2006 and, subsequently, delist Universal from the ASX.
In the binding commitment, Ata Resources has advised that it has satisfied certain of the conditions to which the NBIO was subject as referred to in the initial announcement, specifically that Ata Resources has obtained conditional commitments to fully finance the proposed transaction through a combination of debt and equity funding, and that confirmatory due diligence by Ata Resources and its financers has been completed.
The king of the binding offer for Universal shares remains conditional upon the negotiation and execution of a transaction implementation agreement between the parties.
Read the full announcement here.
Read the article online at: https://www.worldcoal.com/coal/26102018/update-on-ata-resources-proposal-to-acquire-100-of-universal-coal/