1st Dec 2015 11:16
LONDON (Alliance News) - Aurasian Minerals PLC on Tuesday said it has signed a heads of agreement to acquire Jersey-based Moroccan Minerals Ltd in an all-share deal.
Moroccan Minerals, set up in 2013, has signed an earn-in agreement with Balkan Mineral Corp to earn up to an 80% interest in a polymetallic project, called Chadine, in south-west Serbia, near the border with Montenegro.
Aurasian will acquire Moroccan Minerals shares at a rate of 4.22 Moroccan shares for every 1 Aurasian Minerals share. This would result in Aurasian issuing a maximum of 81.0 million shares and, should the acquisition go through, under the heads of agreement terms Moroccan Minerals shareholders would own 16% of Aurasian.
Under the terms of the agreement, Moroccan Minerals director Didier Fohlen will join the board of Aurasian as a non-executive director, while Fabian Baker, another Moroccan Minerals director, will become Aurasian's chief operating officer.
Aurasian shares were up 15% on the news to 0.45 pence, one of the best performers in the AIM All-Share.
By Sam Unsted; [email protected]; @SamUAtAlliance
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