Bridge bids for Silver Valley

Press, 24 June 1978, Page 19

Bridge bids for Silver Valley

NZPA Sydney Bridge Oil, Ltd, has launched an ■ takeover bid for Silver Val- ; ley Minerals NL (receiver appointed). Bridge is offering 10c each (for the 7,234,988 fully-paid shares, and 2.5 c for the 3,450.000 contributing shares in Silver Valley. A spokesman for Bridge! said that the company was! mainly interested in Silver! Valley’s coal deposits ati Mi.wson, near Newcastle. Silver Valley has sold a, substantial part of its free-1 hold land, and is attempting' to sell more to pay its debt■ to the ANZ Banking Group, Ltd, which appointed a receiver late last year. ; However, the directors, ■ have estimated that 130 milpion tonnes of coal lie beIneath this land. ! In addition to the freehold Hand, Silver Valley has an (authority to prospect over 13219 acres of coal-bearing ; land adjoining the Mawson freehold. ; At the time of Silver ValI ley’s receivership appointment the company was; unable to mail its annual re-; (port to shareholders because; I of lack of funds. One of the receivers (Mr I [K. Fehew) said that the I ■ company’s' financial position (had not changed radically! (since his appointment. Bridge does not hold any | Silver Valley shares at present. Silver Valley’s; major shareholder is Eagle Bluff Enterprises, Ltd, Hong (Kong.which holds 1.35 milllion or 18.6 per cent of the; (fully-paid shares.

ri Bridge directors are trying |to find out who controls s: Eagle Bluff, since the rest of lithe shares are rather loosely -1 held.. Silver Valley directors •; are believed to hold a small proportion of the company’s Jshares. 11 The chairman of Silver , Valley (Mr N. P. T. Holman); .[would not comment on the: proposed offer. The directors I J were looking at the bid and: ! i would probably announce; [I their recommendation next, I week. ■ Mr Holman advised shareholders not to sell their, 1 1 shares pending a further an-1 [nouncement;