LONDON (Alliance News) - Polo Resources Ltd, a natural resources investment company, on Thursday said its Polo Investments Ltd subsidiary intends to exercise its right to buy a further 49% of Perfectus Management Ltd for AUD3.0 million.
In a statement, Polo said it will 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 million in cash and AUD2 million in shares, and included the right to buy a further 49% stake within a two-year period.
At the June 7 closing price of 4.0p, the Polo shares had a value of about GBP393,000 or AUD800,000. As of May 24, Perfectus had unaudited net assets of USD4.68 million. Shares in Polo were up 0.4% at 3.92p Thursday morning.
Perfectus owns 5.9 million shares in Blackham Resources, equivalent to a 2.3% stake. Polo directly holds a further 14.8 million shares, or a 5.83% stake, in Blackham.
The shares being issued by Polo equate to 3.15% of Polo's enlarged number of shares. On completion, 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%.
Perfectus is a substantial shareholder in Polo with a holding of 32.3 million Polo shares.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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