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Sierra Rutile Ltd (SRX)

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Wednesday 07 September, 2011

Sierra Rutile Ltd

Pala Offer undervalues Sierra Rutile

RNS Number : 8401N
Sierra Rutile Limited
07 September 2011
 

Not for release, publication or distribution, in whole or in part, directly or indirectly in, into or from the United States, Canada, Australia or Japan.

 

Sierra Rutile Limited

Independent Board Sub-Committee Declares

that Pala Offer undervalues Sierra Rutile

7 September 2011: The Board of Sierra Rutile Limited ("SRL" or "the Company") notes the announcement issued by Pala Minerals Limited, a wholly owned subsidiary of Pala Investment Holdings Limited ("Pala") regarding an unsolicited, conditional offer of 25 pence per share for the entire issued and outstanding shares in the Company which are not owned by Pala or persons acting in concert with Pala ("the Offer").

The independent Sub-Committee of the Company's Board ("the Sub-Committee") believes that the Offer significantly undervalues the future prospects of the Company and recommends that shareholders take no action.

The Sub-Committee will review comprehensively the merits of the Offer in conjunction with the Company's independent advisors and a further announcement will be made in due course. 

The Sub-Committee comprises John Sisay, François Colette, Charles Entrekin and Alex Kamara, who has been appointed its Chairman.

Shareholders should be aware that the Panel on Takeovers and Mergers does not have jurisdiction over the Offer and shareholders of the Company are not required to make disclosure announcements pursuant to Rule 8.3 of the City Code on Takeovers and Mergers. 

Ends

Overseas jurisdictions

The availability of the Offer in, and the release, publication or distribution of this announcement in or into, jurisdictions other than the United Kingdom may be restricted by law. In particular, as described in the Offer announcement, the Offer will not be made directly or indirectly into the United States, Canada, Australia or Japan. Therefore persons into whose possession this announcement comes who are not resident in the United Kingdom should inform themselves about, and observe, any applicable restrictions.  Sierra Rutile Shareholders who are in any doubt regarding such matters should consult an appropriate independent adviser in the relevant jurisdiction without delay.  Any failure to comply with such restrictions may constitute a violation of the securities laws of any such jurisdiction.

The Offer will not be made, directly or indirectly, in or into, or by the use of the mails or any means of instrumentality (including, without limitation, telephonically or electronically) of interstate or foreign commerce of, or any facilities of a national securities exchange of the United States, Canada, Australia or Japan.  Accordingly, except as required by applicable law, copies of this announcement are not being, and may not be, mailed or otherwise forwarded, distributed or sent in, into or from the United States, Canada, Australia or Japan.  Persons receiving this announcement (including without limitation nominees, trustees or custodians) must not forward, distribute or send it into the United States, Canada, Australia or Japan.

 

For further information:

Sierra Rutile Limited

John Sisay, Chief Executive Officer

Telephone: +44 (0) 20 7321 0000

www.sierra-rutile.com

 

Collins Stewart Europe Limited

Financial Adviser John Prior/Adam Miller

Telephone: +44 (0) 20 7523 8350

 

Aura Financial

Michael Oke/Andy Mills

Telephone: +44 (0) 20 7321 0000

 

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
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