Kazakhstan based mining group Eurasian Natural Resources Corporation Plc has announced that it has reached an agreement to acquire Central African Mining & Exploration Company for 20 pence in cash for each CAMEC share, for a total of approximately EUR 584 million.
London based ENRC said today in a statement on the Regulatory News Service said that “The boards of directors of both companies agreed on the cash offer of 20 pence per share. The company now holds 55.18% of outstanding Camec shares.”
ENRC’s offer is a 67% premium to the July 15 closing price of 12 pence, the day before Camec announced it had received a preliminary approach. The shares have risen 63 since then and gained 1.25 pence, or 6.9% to 19.5 pence by the close of London trading. ENRC declined 3 pence or 0.3 to 892 pence.
ENRC also agreed to buy all shares held by Mr Dan Gertler, one of the main shareholders in Camec.
Mr Felix Vulis CEO of ENRC said "We are pleased to announce a recommended cash offer for the acquisition of CAMEC. The attractive assets of CAMEC fit well with our strategic ambition to grow and diversify ENRC. CAMEC offers all of our key requirements including scale and scalable assets, low cost and extensive growth opportunities."
He said that “The company will invest EUR 230 million in Camec in the next five years to increase copper output to 75,000 tonnes.
Camec was founded by former England cricketer Mr Philippe Edmonds and is an AIM listed, Africa focused emerging mining company with operations centered on copper and cobalt, coal, bauxite, platinum, trucking and logistics and fluorspar. Accordingly, the offer will give ENRC access to large copper/cobalt resources in the Democratic Republic of the Congo with the potential to support significant, scalable, low-cost production capacity.
