Tuesday, April 27, 2010

CBH Backs Toho Bid

Independent Directors Unanimously Back Bid



Independent directors at Australia’s CBH Resources' have unanimously backed Japan's Toho Zinc's friendly takeover offer for the zinc, lead and silver miner

CBH said in a statement Toho was offering 24 cents a share cash and $1000 cash per CBH convertible note. The offer, which already owns 24.1 per cent of CBH, was above an independent expert's valuation range of 18.7-23.2 cents a share.

It said the offer was subject to 90 per cent shareholder approval.

"This offer from CBH's major shareholder, Toho, is very attractive for CBH shareholders, particularly when compared to previous proposals received recently by the company," Managing Director Stephen Dennis said.

Toho said the offer valued CBH's ordinary equity at $262.7 million.

CBH has also been the target of Belgian’s Nyrstar, which has offered 19.5 cents a share and $1000 for each convertible note.


No comments: