Kaz Minerals Share Discussion Threads

[clinton baptiste] 24/3/2021 10:05

They need 75% for the offer to succeed

[clinton baptiste] 24/3/2021 10:03

Neil Hume
@humenm
So Nova Resources has until Friday to increase its offer for Kaz Minerals. Today's statement shows just a 0.3% increase in acceptances since the last update 13 days ago. Bid is at 780p. Copper is back above $9,000 a tonne this morning.


Correction. I think Neil Hume is incorrect as the release states the T/O offer has been extended to 9 April.

[sarahbudd] 24/3/2021 10:01

Exactly my point too

[zangdook] 24/3/2021 09:39

As I read it, the minimum is 50%, if they still want it, but they can back out if they get less than 75%.

Acceptance Condition
(a) valid acceptances of the Increased Offer being received (and not, where permitted, withdrawn) by no later than 1.00 p.m. on the First Closing Date of the Increased Offer (or such later time(s) and/or date(s) as Bidco may, in accordance with the Takeover Code or with the consent of the Panel, decide) in respect of not less than 75 per cent. (or such lesser percentage as Bidco may decide) of the KAZ Minerals Shares to which the Increased Offer relates and of the voting rights attached to those shares, provided that this Condition will not be satisfied unless Bidco and/or any of its wholly-owned subsidiaries shall have acquired or agreed to acquire (whether pursuant to the Increased Offer, the Share Exchange Agreement or otherwise), directly or indirectly, KAZ Minerals Shares carrying in aggregate more than 50 per cent. of the voting rights then normally exercisable at a general meeting of KAZ Minerals, including for this purpose (except to the extent otherwise agreed by the Panel) any such voting rights attaching to KAZ Minerals Shares that are unconditionally allotted or issued before the Increased Offer becomes or is declared unconditional as to acceptances whether pursuant to the exercise of any outstanding subscription or conversion rights or otherwise.

[rampant_bull] 24/3/2021 09:32

So if I'm reading this right, 9th March Bidco had received 19.88% valid acceptances of the offer giving aggregate holdings of 59.25%. Today's announcement puts those numbers at 19.91% and 59.28%. Not much movement.

[sarahbudd] 24/3/2021 09:27

Surely they realise they have to increase offer?

[sarahbudd] 24/3/2021 09:25

So the total aggregate on 10 March was 59.25% so barely increased ...

[thelongandtheshortandthetall] 24/3/2021 09:06

''The aggregate of those KAZ Minerals Shares in respect of which Bidco has received acceptances (as set out above) and the KAZ Minerals Shares in which the Consortium is already interested represents approximately 59.28 per cent. of the existing issued share capital of KAZ Minerals.''

Ok so they have acceptance from 59.28%.
Do they require 75% because if they do I can't see that happening.

Any opinions?
Cheers

If their offer is scuppered KAZ should IMO leave the blocks with gusto!

[thelongandtheshortandthetall] 22/3/2021 15:43

That's how read it SarahBudd.
I can only conclude the meagre offer has no chance of success.

Please do your own research though :)
And report back any findings!!

[sarahbudd] 22/3/2021 12:29

So there were under 20% acceptances as of 10 March reported here by Alliance News. Am I right in thinking there has been no further declaration....just checked

[thelongandtheshortandthetall] 20/3/2021 11:31

So just to catch up.
There's currently a bid at 780p
Basically a management buy out for less than the current share price?

Can anyone please clear up now many votes they need to succeed.
Seeing lots of conflicting numbers.

Is it likely they will get away with this daylight robbery?

Thank you very much in advance👍8077;

[rampant_bull] 12/3/2021 09:21

Thanks Glavery. So they are currently up to 59% as at 9th March.Apologies, my mistake on the 790. 780 corrected.

[glavey] 12/3/2021 01:08

The offer is 780p, not 790. The chance of Nova having acceptances representing 75% is extremely unlikely given the share price remains comfortably above the offer price. If they were to gain 75% acceptance and declare the offer unconditional the offer must then remain open for a further 14 days [Rule 34.1]. Obviously the price offered in the market would then be lower than the Nova offer because anyone buying in the market would only expect to receive 780p max. if they resold and they would have to wait a while to receive payment under the takeover offer.

As for the last known position, read the RNS of 10th March. They are notably short of 75%.

[rampant_bull] 11/3/2021 20:04

So it's a bit of a gamble then, if they get 75% the risk is 38p on the current price. If they don't get 75% are we likely to see any upside, potentially a run to 900? Any one know what their current holding is against the 75% target?

[sarahbudd] 11/3/2021 18:59

That's exactly my understanding. If they reach the required amount the market will imho drop to that.Still holding ..

[rampant_bull] 11/3/2021 18:53

Can I just ask, the deadline is 18th March to elect whether to accept 790 offer. Clearly we could sell for more in the market. But what happens on 19th March if I was still a holder and their holding is more than 75%? Can I still sell, I assume market price would drop back to 790.

[glavey] 06/3/2021 02:23

rech, it's too soon to expect a higher offer - you would have needed to wait at least past the 9th. Anyway, looks like you got a very good price for the day. At least you know you have sold to a market participant whose likely intent is to hold out. In other words you got 50p/sh over the currently tabled offer and the ultimate counter-party hopes to cash in for a bit more, either via a higher offer or by further appreciation in the share price over time.

benty, AIUI, from a post elsewhere which I'll quote:
"If they don't get to 75% before the offer closes (currently 9 March), they have an option to extend the offer period (up to a maximum of 9 April)." [*] "If at any time while the offer is open they get to 75% they must announce this and then have to keep the offer open for further 14 days (even if they get to 75% on the final day of 9 April). You will then have 14 days to either sell your shares in the market (if the price is higher than their offer) or send your acceptance form in and get the offer price once the deal closes."

[*] or rise the offer to all at some point.


The chart for today (5th) looks a bit choppy but was much just mirroring general trading as is illustrated by the usual indices.

[mahamud8] 05/3/2021 16:14

I am holding out. I understand that if they have 75%, they have to declare and hold out until offer deadline plus 14 days for one to sell to the market, if desired. I have not yet seen any declaration.

[rech] 05/3/2021 14:21

I put a sell order in @8.30 and they've gone. Seems I set a good price for the day.

[zangdook] 05/3/2021 10:13

It depends how much they get. AIUI the rules are usually 75%, they can delist; 90% they can buy you out.

[benty] 05/3/2021 10:02

If the offer is accepted which I have voted against, do we if we are still holding get bought out at 7.80 ?

[sarahbudd] 05/3/2021 09:11

Interestingly two of my accounts requested 4th March deadline and one next Tuesday. I've opted not to accept..

[glavey] 04/3/2021 09:07

Hodling with diamond hands Sarah.

What's to loose! YOLO!!


The market is presently happy to take any loose stock from the worried. The buyers in the market won't mind if the share price drifts down short term, why should they?