December 03, 2008

Gallagher buys 12.32% stake in Australian Medusa Mining

It is reported that Gallagher Holdings Ltd has bought a 12.32% stake in an Australian gold producing company Medusa Mining Ltd for USD 16.9 million.

Australia's Medusa said in a news release that “In addition to the newly acquired shares 7,000,000 unlisted options exercisable by February 1st 2009 at a price of AUD 1.60 will also be issued to Gallagher subject to shareholder approval at a meeting in August 2007.”

It said the funds raised will be used for repaying deferred vendor debt of AUD 5 million (USD 4.2 million) and funding a future porphyry copper drilling program among other things.

Russian billionaire Mr Alisher Usmanov owns Gallagher Holdings Ltd. He is also the main shareholder in the unlisted Metalloinvest Group Russia's leading iron ore producer with 39% of total concentrate, pellet and hot briquette production and Russia's fifth largest steel plant.