(Alliance News) - The deadline for Kaz Minerals PLC shareholders to accept a buyout offer from its board chair was extended again on Wednesday, as the buyer struggled to win over investors and shares continued to trade above the offer price.
Shareholders owning 20% of Kaz stock have accepted the offer, according to a statement from Nova Resources BV, the buyout vehicle of Kaz Chair Oleg Novachuk. That's up only a fraction from March 10, when the deadline was last extended. The deal needs 75% acceptance to go ahead. Nova already owns a 39% stake, so it has 59% in shares and acceptances and requires another 16%.
The deadline has been pushed back again to April 9.
Nova made its first offer of 640 pence per share for Kaz, a London-based copper miner, last October. In February, Nova increased its bid to 780 pence per share, valuing Kaz at around GBP3.7 billion.
Shares in Kaz, a constituent of the FTSE 250 index, were trading at 841.17 pence in London, up 1.8%.
Kaz shares have jumped 48% since Nova announced its first offer. The price of copper has increased by nearly a third in the same time frame.
By Ivan Edwards; ivanedwards@alliancenews.com
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