Phoenix Gold (ASX:PXG) said today in a statement that it had withdrawn “Resolution 2 – Approval for Issue of Tranche 2 Shares and Strategic Alliance with Evolution Mining (ASX:EVN) from the Agenda of the General Meeting.
The meeting was today, Tuesday, June 23, 2015.
Phoenix added that as a result, all rights and obligations between Phoenix and Evolution with regards to the issue of Tranche 2 shares, including seeking shareholder approval, have discontinued.
Other agenda items for the meeting remain unchanged and will be put to shareholders for approval.
Earlier in the week Phoenix received a takeover offer from Zijin Mining Group (SHA:601899, HKG:2899).
The offer at $0.10 cash per share values Phoenix at around $47 million.
Dale Rogers, executive chairman for Phoenix, said to Proactive Investors today:
"The Board views the alliance with Evolution favourably.
"We see synergies between the companies at an operational level, our tenements are intertwined and they bring to the table a milling solution that is the newest in the area and closest to our Reserves and Resources."Further, we have a great deal of respect for the management and performance of Evolution.
"The Board’s view was withdrawing Resolution Two was the right thing to do by our shareholders as most shareholders had already voted on the Resolution prior to the announcement Monday morning by Zijin.
"The company is well funded and withdrawing Resolution 2 maintains flexibility for all parties involved.”
