Eurasia Mining plc, the palladium, platinum, rhodium, iridium and gold producing company, operating the established West Kytlim Mine in the Urals.
The operator of the Monchetundra Project comprising two predominantly palladium open pit deposits located 3km away from Severonickel, one of Norilsk Nickel’s largest base metals and PGM processing facilities, near the town of Monchegorsk on the Kola Peninsula, clarifies the status of the Company’s relationship with CITIC Merchant Co Limited (“CITIC Merchant”), and is pleased to announce restoration to trading of the Company’s ordinary shares on the AIM market and the launch of a formal sale process under the UK Takeover Code.
The Company confirms that it has entered into a success fee based engagement letter with CITIC Merchant to, amongst other things, explore possible strategic options for the Company’s mining assets.
LAUNCH OF FORMAL SALE PROCESS UNDER THE TAKEOVER CODE
As per the announcement released by the Company on 1 July 2020, the Board has appointed UBS Investment Bank (“UBS”) as its leading adviser to assist in a review of its strategic options including asset sales or a sale of the Company. For more details please refer to the RNS released on 1 July 2020.
In summary, the Company now has success fee based engagement letters signed with UBS and CITIC Merchant, and Eurasia’s relationship with VTB Capital continues to be as previously announced on 25 November 2019.
There can be no guarantee that any transaction, regarding either a sale of the Company or particular asset(s), will occur.
RESTORATION OF TRADING ON AIM
The Company expects trading in the ordinary shares of the Company on the AIM market to be restored to trading at 7:30 am on 9 July 2020.
Christian Schaffalitzky, Executive Chairman of Eurasia, commented: “The Board remains focused on maximising shareholder value, and, after receiving approaches from multiple parties interested in acquiring the Company’s assets, has decided that launching a formal sale process under the Takeover Code is in the best interests of shareholders, which could result in a sale of assets or the Company. The Company will work with UBS and its other advisers to execute the process.”
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