www.newswire.ca
Global Alumina Announces Agreement to Sell Its Interests In Guinea Alumina Corporation
Edited by : AL CIRCLE
2 min read
Global Alumina Corporation announced today that it has signed a share purchase agreement with DM GAV Limited, a company established and owned equally by Mubadala Development Company PJSC and Dubai Aluminium, to sell all of Global Alumina's interests in Guinea Alumina Corporation Limited to DM GAV. Pursuant to the SPA, DM GAV will make a US$2 million advance payment to Global Alumina on signing of the SPA and will pay an additional US$36 million upon completion of the transactions contemplated by the SPA, which is scheduled to occur on or before August 31, 2013. A copy of the SPA will be available on the Company's SEDAR reference page at www.sedar.com.
Coincident with this transaction, Global Alumina International Limited and The Broken Hill Proprietary Company Pty Limited have agreed to terminate their share purchase agreement which was announced on November 1, 2012. Concurrent with this termination and execution of the SPA, DM GAV signed a share purchase agreement directly with BHP Billiton to buy all of BHP Billiton's interests in Guinea Alumina.
Conditions to Completion include no objection having been received from the Government of Guinea, completion of DM GAV's acquisition of BHP Billiton's interests in Guinea Alumina and Global Alumina's regulatory and shareholder approvals. These conditions must be satisfied by August 31, 2013 or the SPA may be terminated.
Global Alumina intends to use the US$2 million advance payment to fund accrued liabilities and ongoing corporate costs until Completion. Under the SPA, the Company has given limited representations and warranties some of which will survive for up to two years following Completion.
The Company plans to call a special and general meeting of its shareholders as soon as practically possible to approve the SPA and the transactions contemplated thereby.
A management information circular describing the background to, and terms of, the proposed transaction will be mailed to shareholders in advance of the meeting after due consideration by the Company's board of directors. The management information circular will also be made available on the Company's reference page at www.sedar.com.
Coincident with this transaction, Global Alumina International Limited and The Broken Hill Proprietary Company Pty Limited have agreed to terminate their share purchase agreement which was announced on November 1, 2012. Concurrent with this termination and execution of the SPA, DM GAV signed a share purchase agreement directly with BHP Billiton to buy all of BHP Billiton's interests in Guinea Alumina.
Conditions to Completion include no objection having been received from the Government of Guinea, completion of DM GAV's acquisition of BHP Billiton's interests in Guinea Alumina and Global Alumina's regulatory and shareholder approvals. These conditions must be satisfied by August 31, 2013 or the SPA may be terminated.
Global Alumina intends to use the US$2 million advance payment to fund accrued liabilities and ongoing corporate costs until Completion. Under the SPA, the Company has given limited representations and warranties some of which will survive for up to two years following Completion.
The Company plans to call a special and general meeting of its shareholders as soon as practically possible to approve the SPA and the transactions contemplated thereby.
A management information circular describing the background to, and terms of, the proposed transaction will be mailed to shareholders in advance of the meeting after due consideration by the Company's board of directors. The management information circular will also be made available on the Company's reference page at www.sedar.com.
Previous article
Vedanta hopeful of restarting Lanjigarh refinery by July
Next articleDubai Aluminium and Mubadala amounted to 100% in the capital of Guinea Alumina Corporation
Grow with
AL Circle
