Noront accepts 'superior' Wyloo offer, says BHP has five days to counter
(Kitco News) - Noront Resources (TSXV: NOT) today announced it has settled the terms of a proposal from Wyloo Metals under which Wyloo Metals would acquire up to 100% of the common shares of Noront for C$0.70 in cash.
According to the company’s statement, the consideration of C$0.70 in cash per share under the Wyloo offer represents a 192% premium to Noront’s unaffected closing price on May 21, 2021 and a 27% premium to the BHP C$0.55 per share offer.
Therefore, the company said that its Board has unanimously determined that the Wyloo offer constitutes a superior proposal as compared to the outstanding BHP offer.
However, the company pointed out that BHP has five business days from receiving notice of the superior proposal to amend the terms of the existing support agreement such that the Wyloo offer is no longer considered by the Noront Board of Directors to be superior to the amended BHP offer.
Noront Resources is focused on the development of its high-grade Eagle’s Nest nickel, copper, platinum and palladium deposit and the world class chromite deposits including Blackbird, Black Thor, and Big Daddy, all of which are located in the James Bay Lowlands of Ontario in an emerging metals camp known as the Ring of Fire.