Sovereign Gold Co Ltd (ASX:SOC) Bids for Remaining Mount Adrah Gold Limited Shares

Raffles Capital Limited (ASX:RAF) and Sovereign Gold Co Ltd (ASX:SOC) (Sovereign Gold) have entered into a Share Acquisition Agreement bringing Sovereign Gold's interest in Mount Adrah Gold Limited (Mount Adrah) to 76.12%.

Sovereign Gold will make an offer for the full acquisition of Mount Adrah Gold Limited (Mount Adrah).

Sovereign Gold is offering Mount Adrah Shareholders four Sovereign Gold shares (last traded price was 4.8 cents) for each Mount Adrah share including options held by them. Offer value is 19.2 cents per Mount Adrah share including options.

The Offer is subject to obtaining all necessary shareholder, regulatory and statutory approvals.

Consideration for the total acquisition would be the issue of up to 64.7 million Sovereign Gold shares with a cash value of $3.1 million.

Sovereign Gold shareholders will be asked to approve the issue of the shares at a forthcoming general meeting.

About Sovereign Gold Company Limited

Sovereign Gold Co Ltd (ASX:SOC) is an Australian-based specialist gold exploration company. Sovereign Gold has a portfolio of quality tenements located in Eastern Australia where there is known potential for the occurrence of Intrusion-Related Gold Systems (IRGS). Sovereign Gold has a highly prospective tenement package covering the Rocky River-Uralla Goldfield, 21km southwest of Armidale, NSW, Australia. Sovereign owns the recent Mt Adrah Hobbs IRGS discovery south-east of Wagga Wagga, NSW.

 

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