The Group released an update on the proposed merger (Merger) between Tawana and Alliance Mineral Assets Limited (Alliance) which was announced on 5 April 2018. As per the Scheme Implementation Agreement (SIA), Tawana has agreed to pursue a member’s scheme of arrangement (Scheme) under which, if implemented, Tawana Shareholders will receive 1.1 new Alliance Shares for every 1 Tawana Share held at the Record Date that is 19 September 2018. Both Tawana Shareholders and Alliance Shareholders will each collectively hold an approximately 50 per cent of interest in the combined Alliance / Tawana group (Merged Group). There were few changes in this SIA like in consultation with the JSE it has been determined that shareholders with a registered address in South Africa will be treated as ineligible shareholders for the purposes of the Scheme and will receive the net proceeds from the sale of the Alliance Share.
The Group will create a provision for the cancellation of $0.50 Tawana options with an expiry date of 6 April 2021 for 354,196 Alliance shares. There was a change in the timetable for the Scheme after Alliance received the ‘no objection’ ruling from the Singapore Exchange Securities Trading Limited (SGX-ST). Some other technical and minor consequential amendments were made in the Agreement. The implementation date for the Scheme is 26 September 2018 for the scheme. The share price declined by 1.28 per cent and was trading at $0.38. (as on 9 July 2018;02;42 PM AEST).
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