LONDON (Alliance News) - Polo Resources Ltd on Friday said it has issued 9.8 million new shares to buy a further 49% stake in Perfectus Management Ltd, in a transaction which increases its stake in gold company Blackham Resources Ltd.
The natural resource investment company first announced it intended to exercise its right to buy the further stake last month for AUD3.0 million, and said it would issue 9.8 million new shares at 15 pence per share, a price agreed in May 2014, for the 49% stake.
The May 2014 deal saw Polo agree to subscribe for a 49% stake in Perfectus for AUD1.0 million in cash and AUD2.0 million in shares, and included the right to buy a further 49% stake within a two-year period, for a total 98% stake from the two transactions.
Shares in Polo were untraded at 5.62p early Friday.
Perfectus owns 5.9 million shares in Blackham Resources, equivalent to a 2.3% stake and, prior to the transaction, Polo directly held a further 14.8 million shares, or a 5.83% stake, in Blackham.
Polo's undiluted interest in Blackham will increase to approximately 8.11% from its current attributable combined direct and indirect holding of approximately 6.97%.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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