Silvercorp's Offer For OreCorp Lapses Due To Failure To Meet Minimum Acceptance Condition
(RTTNews) - Silvercorp Metals Inc. (SVM, SVM.TO) said that, further to its off-market takeover bid for all of the ordinary shares in OreCorp Limited (ORR.AX), Silvercorp did not satisfy the 50.1% minimum acceptance condition prior to the close of the Offer on March 22, 2024 and elected not to exercise its "right to match" a competing offer for OreCorp.
Silvercorp will remain entitled to payment of a break fee of about A$2.8 million in certain circumstances.
In November 2023, Silvercorp Metals said that it entered into an amendment to the previously announced acquisition deal with OreCorp Limited, to increase per share cash consideration. As a result, each OreCorp shareholder would receive an increased cash consideration of A$0.19 per share, against previously announced A$0.15 per share. However, there was no change in the share consideration, where each OreCorp shareholder would get 0.0967 of a Silvercorp share.
Earlier in August, Silvercorp announced the acquisition of OreCorp, where each holder of OreCorp shares was allowed to receive A$0.15 per share in cash and 0.0967 of a Silvercorp share valued at A$0.45 for a total consideration of A$0.60 per OreCorp share.
