Nyrstar NV announced that 82,760,567 common shares of Breakwater Resources Ltd have been validly deposited and taken up under the offer by Nyrstar to acquire all of the Breakwater Shares.
The Nyrstar Offer was conditional on a number of customary conditions including a minimum acceptance condition of 66 2/3% receipts of all regulatory approvals and no material adverse change in Breakwater business. All of these conditions have been satisfied or waived and the Nyrstar Offer is now expired. Nyrstar has taken up all of the Breakwater Shares deposited under the Nyrstar Offer. Payment for the deposited shares will be made on 30 August 2011.
As more than 90% of the Common Shares sought were deposited under the Nyrstar Offer, Nyrstar intends to promptly acquire all of the remaining Breakwater common shares pursuant to the compulsory acquisition provisions of the Canada Business Corporations Act. Nyrstar further intends to cause the common shares of Breakwater to be de-listed from the Toronto Stock Exchange and cause Breakwater to cease to be a reporting issuer under applicable securities laws as soon as possible.
Mr Roland Junck CEO of Nyrstar said "The acquisition of Breakwater, in line with our strategy is an exciting opportunity to significantly increase our level of zinc integration from 31% to 43%, assuming all mining operations at full production as expected by the end of 2012.”
He said that the acquisition will provide immediate production and cashflows and will reinforce and further diversify our multi-metals profile whilst maintaining our competitive cash cost position. Our in-depth market knowledge across our multi-metals value chain will enable us to extract the maximum value inherit in these poly-metallic ore bodies. Our immediate focus will be the successful integration of the Breakwater operations. Nyrstar also remains focused on growth, and our enhanced size and scale will provide a robust platform for further growth opportunities in zinc and other metals within our multi-metals portfolio.”
He also said “We look forward to welcoming the Breakwater employees to Nyrstar."
