19th Nov 2013 09:49
LONDON (Alliance News) - Sierra Rutile Limited Tuesday confirmed that it is currently engaged in discussions with potentially interested parties for the possible takeover of the company.
The metals and mining company focused on Sierra Leone in West Africa said that it made the announcement in response to media speculation and that there can be no certainty that an offer will be made for the company. It didn't name the potential bidders.
Sierra Rutile has engaged RBC Capital Markets to act as its financial adviser in connection with the potential sale of the company.
The company recently announced positive production in its third quarter, but its first half pretax profit was crushed by falling commodity prices, reaching only USD3.8 million, down from USD56.7 million the previous year.
Sierra Rutile shares were up 23% to 69.70 pence, making it the third biggest AIM gainer in morning trade.
By Tom McIvor; [email protected]; @TomMcIvor1
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