21st Jul 2014 09:40
LONDON (Alliance News) - Stratex International PLC Monday said it has conditionally agreed to acquire up to 33.4% of African gold exploration company Goldstone Resources Ltd for GBP1.3 million.
The exploration and development company, focused on gold and base metals in Turkey and Africa, said it will subscribe for 20.8 million shares at 0.6 pence per share, which represents a discount of 4.7% from Goldstone's Friday closing price of 0.63 pence.
The company will also have matching warrants, exercisable for 18 months at 0.7 pence, which would bring its total holding up to 50.1%.
As a result of the deal, Stratex will have two out of five board seats and the right to nominate a new, independent non-executive director.
Goldstone has significant interests in an advanced exploration project in Ghana called Homase/Akrokeri. The site has a 602,000 ounce gold resource next to Anglogold Ashanti PLC's 42 million ounce Obuasi gold mine.
It also holds the Sangola exploration project in Senegal, approximately 100 kilometres west of Stratex's Dalafin project, and two earlier stage projects in Gabon.
"This strategic investment in Goldstone, whose principal asset is in the prolific Obuasi gold belt in Ghana, where we see significant untapped potential, is a significant move for Stratex," Chairman Christopher Hall said in a statement.
Stratex shares were up 13% to 3.95 pence, putting them in the top ten AIM All-Share risers on Monday while Goldstone shares were down 4.9% to 0.580 pence on Monday.
By Tom McIvor; [email protected]; @TomMcIvor1
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