JSE-listed MC Mining’s shares rose to close a whopping 20% higher at R1.80 on Friday, after it said it had received an “off-market takeover bid” and was in receipt of a bidder’s statement.
It warned its shareholders to take no action until it had assessed the offer.
MC Mining said it had received a copy of a Bidder's Statement, dated February 2, 2024.
“The bidder's statement relates to an off-market takeover bid by a consortium of joint-bidders for all of the fully paid ordinary shares on issue in the company they do not currently own (takeover offer).
“The joint-bidders include Senosi Group Investment Holdings Proprietary Limited (Senosi) and Dendocept Proprietary Limited (Dendocept) and certain other shareholders and associates, who represent, in aggregate, 64.3% of the issued capital in the Company (together, the Consortium),” it said.
MC Mining, with a market cap of R612 million, is an Australia-based coal exploration, development and mining company operating in South Africa. The purchase of the Uitkomst Colliery in 2017 shifted the company's focus from project development to operation.
Its share price has tanked 82.04% in the past five years.
The takeover offer was made by Goldway Capital Investment, with a company registration number 3294426, a Hong Kong incorporated company and associate of the consortium joint bidders, and proposes to acquire all of the MC Mining shares that the consortium did not own at a cash price of A$0.16 per share.
The bidder's statement had been lodged with the Australian Securities and Investments Commission and the Australian Stock Exchange on February 2, 2024.
MC Mining said the established Independent Board Committee (IBC) reiterated that shareholders should “take no action in respect of the takeover offer and Bidder’s Statement until the IBC had had the opportunity to fully consider the bid”.
It would then respond.
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