Western Australian gold explorer Focus Minerals (ASX: FML) notes the announcement by China Hanking Holdings on the Stock Exchange of Hong Kong on 23 September 2019 relating to a non-binding indicative cash offer (NBIO) it has made to potentially acquire Focus’ Coolgardie Gold Project and recent media commentary in relation to it.
The purpose of this announcement is to respond to these developments, in the interests of a fully informed market.
After considering all relevant circumstances, and seeking input from its advisers, the Focus board has concluded that the Hanking NBIO, as currently presented, is not a superior proposal for the purposes of the Exclusivity Deed.
Focus informed Hanking of that decision late on 23 September 2019.
Factors relevant to the Focus board’s determination include that the Horizon Minerals proposal is substantially more advanced (including due diligence being completed) and currently has greater execution certainty.
In the absence of a superior proposal, Focus will continue to engage with Horizon in relation to its previously announced (improved) proposal to acquire the Coolgardie Gold Project.
Focus will continue to update the market as appropriate, consistent with its continuous disclosure obligations.