GGG Resources plc (GGG) has today sent its first bidder's statement to Auzex Resources Limited (Auzex) shareholders in relation to GGG's off-market takeover offer for all of the ordinary shares in Auzex.
GGG's offer is dated 3 May 2011 and closes at 5.00pm (Perth time) on 6 June 2011, unless extended or withdrawn.
The Directors of GGG believe GGG's offer is a compelling proposition for Auzex shareholders. If GGG's offer is successful, it will:
* consolidate the ownership of the Bullabulling Gold Project into a single corporate group which will focus on the Bullabulling Gold Project;
* rationalise future decision-making processes in relation to the Bullabulling Gold Project;
* allow for the potential improvement of the efficiency and timeliness in the development of the Bullabulling Gold Project to maximise shareholder value by accelerating exploration and development;
* align the interests of the two shareholder groups into a like-minded, single group of shareholders;
* reduce corporate overheads and duplicated roles;
* allow GGG to strengthen its Western Australian-based team which will manage the development and operations of the Bullabulling Gold Project in the future; and
* potentially provide the merged entity with greater access to capital markets in the United Kingdom as well as Australia.
If Auzex shareholders have any questions about GGG's offer, they can contact the GGG Offer Information Line on 1300 710 755 (local call charges apply) from within Australia or +61 2 8022 7902 (normal call charges apply) from outside Australia.
A copy of the Bidder Statement will be available on the Company's website: www.gggresources.com
AZX Price at posting:
66.1¢ Sentiment: Buy Disclosure: Not Held
