www.paladinresources.com.au
Paladin Energy Ltd is listed on the Australian Securities Exchange, the Toronto Stock Exchange and the Namibian Stock Exchange under the symbol “PDN”. Paladin is a uranium production company with projects currently in Australia and two operating mines in Africa with a strategy to become a major uranium mining house. Since 1998, during a period of sustained downturn in global uranium markets, Paladin accumulated a quality portfolio of advanced uranium projects each having production potential.
Paladin Energy launches all share offer for NGM Resources
Paladin Energy (ASX: PDN, TSX: PDN, NSX: PDN) has made a scrip based takeover offer for NGM Resources Limited (ASX: NGM) for the shares it does not own on the basis of one fully paid ordinary Paladin share for every 23.9 fully paid ordinary NGM shares.
On recent prices, this implies a price of A$0.15 per NGM share based on the closing price of Paladin shares on the ASX on 20 July 2010 (being the last trading day prior to announcement of the Offer) of A$3.58.
Paladin currently holds approximately 22.5% of NGM’s ordinary shares on issue, having recently acquired 4.3 million NGM shares at $0.09 per share.
The Offer values NGM at approximately A$27.01 million and provides a premium of 54% to the 5 day volume-weighted average price of NGM shares on the ASX on 16 July 2010 (being the last trading day in NGM shares prior to the announcement of the Offer).
The Offer is subject to a 90% acceptance condition of NGM shareholders.
NGM’s directors have unanimously recommended that NGM shareholders accept the Offer, in the absence of a
superior offer. They have also indicated that they intend to accept the Offer in respect of their own shareholdings, in the absence of a superior offer.
NGM Director Robert Kirtlan said shareholders would retain exposure to any future success of the NGM projects, as well as benefit from Paladin’s broader portfolio of uranium projects in Australia and Africa.
“Paladin is well positioned with a strong balance sheet and management expertise to fully exploit the world-class
location of NGM’s uranium assets,” Mr Kirtlan said.
NGM is a minerals exploration company with a significant land position in Niger’s uranium rich Tim Mersoï Basin, a region which has a long history of uranium production and hosts some of the world’s largest and highest grade uranium deposits.
NGM holds three uranium exploration concessions, covering an area of approximately 1,500km2.
