LONDON (Alliance News) - Hunter Resources PLC Monday said shares had been suspended from trading today as it has yet to enter into a significant investment despite becoming an AIM investment company.
The company said it had been negotiating a transaction with Global Pearl Limited to acquire a 100% interest in its subsidiary Gold Hunter SAC, which operates in Peru, for a 10% holding in the company's enlarged share capital, but could not achieve the deal before the threshold date in which it became an investment company.
Hunter Resources said it has entered into a Memorandum Of Understanding regarding the deal, which is conditional on Hunter Resources raising between GBP1.0 million and roughly GBP1.3 million in new capital, and Hunter said it hopes to complete the transaction before mid to end March 2014.
The company said its shares will be suspended until the transaction is approved at a general meeting of shareholders but that if it fails to complete the deal within six months from Monday's suspension, the listing of the company's shares on AIM will be cancelled.
Hunter also said it has agreed a new financing facility with Marine Investments WA Pty Limited for a total of USD150,000, USD40,000 of which is to be drawn down immediately and will be used to finance the potential transaction.
Hunter Resources shares closed Friday at a price of 0.160 pence.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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