(Alliance News) - Polo Resources Ltd on Thursday said it will become the largest shareholder in GCM Resources PLC by acquiring a further GBP1.6 million worth of stake in the Bangladesh-focused coal miner.
The natural resources investor said unit Polo Investments Ltd will buy 13.5 million GCM shares at 11.55 pence per share from Dyani Corp Ltd.
Shares in GCM were trading 0.5% higher at 12.06p each in London on Thursday afternoon.
The consideration for the additional stake acquisition will be payable by the issue of 44.4 million Polo Resources shares at 3.51p each. Shares in Polo Resources were down 8.2% at 3.05p.
Following the stake buy, Polo Resources will become the largest shareholder of GCM, owning nearly 28% stake versus 16% previously.
By Tapan Panchal; tapanpanchal@alliancenews.com
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GCM Resources (GCM)