October 12, 2008

Sundance not to pay break up fee to Gindalbie

Sundance Resources Ltd announced that it is not liable to pay a break fee to Gindalbie Metals Ltd, after its planned merger with Gindalbie was scrapped.

A Sundance release said that as there have been considerable speculations regarding the payment of an AUD 15 million break fee and the recommendations of the independent expert, it would like to clarify as under.

1. No break fee is payable by Sundance as a consequence of the decision by Sundance and Gindalbie to terminate the merger
2. No report was completed by, nor any recommendation received from, the independent expert. The independent expert was engaged by Sundance to report on whether the proposed merger by way of scheme of arrangement was in the best interests of Sundance shareholders. The independent expert had no role in undertaking due diligence investigations into Sundance or Gindalbie.