Superior Proposal9 May 2026 13:05
The takeover document is very long and filled with legal points so most people probably haven't read the whole thing.
Something interesting in there is the 'Superior Proposal', in other words a better offer coming in.
If a Superior Proposal arrives, it must be considered by the Board to be better shareholder value than the Zhejian offer. That means not only a higher price but a meaningfully higher price, for example, an offer of $1m more wouldn't be considered a better offer because the legal costs of changing to a different buyer would outweigh any benefit. Other things come into the decision as well, as all bases are covered by potential offers of:
"takeover bid, members' or creditors' scheme of arrangement, reverse takeover, shareholder approved acquisition, capital reduction, buy back, sale or purchase of shares, other securities or assets, assignment of assets and liabilities, incorporated or unincorporated joint venture, dual-listed company (or other synthetic merger), deed of company arrangement, any debt for equity arrangement, recapitalisation, refinancing or other transaction or arrangement."
The Board would also need to do Due Diligence on any offeree of a Superior Proposal
Atlantic Lithium then have to give Zhejiang 5 business days to match or beat a competing Superior Proposal.
Looking at all of this, the Zhejiang offer arrived on Thursday 7 May. If a counter offer arrived 3 business days later, that would be next Tuesday, 12 May. Add the 5 business days for Zhejiang to consider it takes it to Tuesday 19 May, then add on how long it would take to do the Due Diligence on the offeree and we're probably looking at end of May to see any RNS about a Superior Proposal.
If Zhejiang are buying up the sold stock then an RNS on that would more likely come sooner.
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