C.R.A. Makes £2.3m Offer For M.K.U.

Press, Volume CIV, Issue 30839, 26 August 1965, Page 17

C.R.A. Makes £2.3m Offer For M.K.U.

(N.Z. Press Association —Copyright > MELBOURNE, August 25. Conzinc Riotinto of Australia has made an offer worth £2.3m in shares and cash for the half-interest in Mary Kathleen Uranium it does not already own.

Terms of the offer are four C.R.A. stares plus 2s in cash for each nine M.K.U. stares held. Any odd shares would be paid for in cash at 16s each.

Based on sales of C.R.A. shares at 36s 9d a share today, the offer is worth about 16s 6d a share for each M.K.U. stare. C.R.A. already owns 2.898,674 stares or 50.99 per cent of the total 5,683.678 M.K.U. shares issued . The C.R.A. bid is for the remaining 2.785.004 shares. A separately listed investment company. Kathleen Investments (Australia) owns 35 per cent of the total issued capital of M.K.U. The remainder is held by the public including a large number by members of the syndicate which originally discovered the ore body. The chairman of Conzinc Riotinto of Australia (Sir Maurice Mawby) said today that C.R.A. had decided to offer the outside holders of stares in Mary Kathleen Uranium an opportunity to acquire shares in C.R.A. Production at Mary Kathleen ceased late in 1963 and final deliveries of uranium oxide under its contract with the British Atomic Energy Authority were made early last year Since then the mine has been on a “care and mainten ance basis.”