Trident Royalties PLC (AIM:TRR, OTCQX:TDTRF) has recommended an all-cash takeover offer from Deterra Global worth 49p a share, valuing the group at £144 million.
The price is a 22.5% premium to yesterday’s close and 42% above the market price in April when Deterra made a first non-binding, conditional proposal at 44p per share
Trdient's business is similar to Deterra's, said the statement, notably the Thacker Pass lithium asset in the US, which “aligns squarely with Deterra's target investment criteria”.
Deterra is based in Perth, Australia and listed on the ASX with a market capitalisation of approximately A$2.4 billion (£1.25 billion).
Irrevocable undertakings to accept the offer have been received from approximately 24% of Trident's shareholders, with Amati Global also indicating it will accept with its 4%.
Trident added while it remains confident in its prospects as an independent company, certain shareholders wanted a ‘liquidity event’, as substantial sales in the market were not possible given the illiquidity of the shares.