EXU - Explaurum Limited

[System]

Explaurum Limited (EXU) was formerly known as Erongo Energy Limited (ERN).

Previous discussion of this company can be found in the ERN thread: https://www.aussiestockforums.com/forums/showthread.php?t=4933

http://www.explaurum.com.au

 

[greggles]

Ramelius Resources have made an all scrip off-market bid for Explaurum Limited. They are offering one RMS share for every four EXU shares, valuing Explaurum at 12.3c a share, based on Ramelius' 30-Day VWAP of 49.2c up to and including 7 September 2018.

The Explaurum board has recommended shareholders take no action in relation to the takeover offer and have expressed the following concerns in an announcement today:

• at Ramelius' request, the Explaurum Board met with senior Ramelius executives last week to better understand Ramelius' proposal and to explore the potential benefits of a merger for Explaurum and Ramelius shareholders. Ramelius declined to provide meaningful information and the meeting participants agreed that those discussions would continue. Accordingly, Explaurum is surprised and disappointed that Ramelius has proceeded with its announcement before completing any meaningful engagement;
• the proposed consideration is inadequate and undervalues Explaurum's underlying assets and future prospects;
• the timing of the offer appears opportunistically timed to take advantage of the current share price before Explaurum completes its bankable feasibility study and provides that information to the market; and
• the proposed scrip consideration does not provide the same certainty of value or risk profile as cash consideration and would careful diligence and valuation.

Will be interesting to see how this plays out. It looks like the EXU board is digging in and are preparing for a fight. The EXU share price is up 41.89% to 10.5c so far today.

More info here: https://smallcaps.com.au/ramelius-resources-bypasses-explaurums-board-takeover-bid/

 

[greggles]

Ramelius Resources have upped their takeover offer for EXU by 5c a share, so the consideration is now one Ramelius share for every four Explaurum shares plus 5c per Explaurum share. This updated offer values Explaurum at 15.25c per share, much better than the 12.3c a share valuation in the original offer made two months ago.

RMS seem determined to acquire EXU despite the latter's resistance. The offer is now extended to 21 December 2018. It almost seems like a foregone conclusion that the takeover will go ahead, but anything can happen between now and 21 December.

EXU is up 13.6% to 12.5c today after the updated takeover offer was announced.

 

[Clansman]

Ramelius Resources have upped their takeover offer for EXU by 5c a share, so the consideration is now one Ramelius share for every four Explaurum shares plus 5c per Explaurum share. This updated offer values Explaurum at 15.25c per share, much better than the 12.3c a share valuation in the original offer made two months ago.

RMS seem determined to acquire EXU despite the latter's resistance. The offer is now extended to 21 December 2018. It almost seems like a foregone conclusion that the takeover will go ahead, but anything can happen between now and 21 December.

EXU is up 13.6% to 12.5c today after the updated takeover offer was announced.

By no means generous but they'll get it and they will get it with plenty in hand. There won't be a 3rd offer.

 

[System]

On March 8th, 2019, Explaurum Limited (EXU) was removed from the ASX's Official List in accordance with Listing Rule 17.14, following despatch of compulsory acquisition notices by Ramelius Resources Limited (RMS).