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Sirius Minerals Takeover Approved by Shareholders

Sirius Minerals Takeover Approved by Shareholders

Published by Matthew Pells at 9:14pm 3rd March 2020. (Updated at 5:29pm 4th March 2020)

Sirius Minerals has announced that the proposed takeover by Anglo American has been approved in a vote by Shareholders today.

Anglo American has offered 5.5 pence per share for Sirius Minerals, after the Scarborough based company failed to find financing to continue building its polyhalite mine near Whitby.

Many local investors stand to make significant losses after buying in to the company when the shares were trading at 20 pence or more.

The company say that at the Court Meeting and the General Meeting held earlier today in connection with the Scheme, all resolutions proposed were passed by the requisite majorities and, accordingly, the Scheme was approved.

The vote now has to be ratified by the High Court on March 13th, when it'll need to be satisfied that shareholders have been treated fairly.

Russell Scrimshaw, Chairman of Sirius, said

“The positive outcome from today’s meeting secures a return for shareholders, and provides greater certainty in terms of safeguarding the Project, protecting the jobs of our employees, and allowing the community, region and the UK to continue to benefit from the Project.”

The Sirius board had warned shareholders that company was likely to enter administration if the deal was not approved with the risk that investors would lose their entire investment.

At the Court Meeting, a majority in number of the Scheme Shareholders who voted (either in person or by proxy)and who together represented over 75 per cent in value of the Scheme Shares held by those Scheme Shareholders, approved the Scheme.

61.8% of Shareholders voted in favour of the Anglo American takeover representing just over 80% of the issued shares. 38.2% of Shareholders voted against the scheme representing 19.7% of the shares.

At the General Meeting, Sirius Shareholders passed special resolutions to, among other things,

  • amend Sirius’s articles of association in connection with the Scheme,
  • authorise the Sirius Directors to take all such action as they may consider necessary or appropriate for carrying the Scheme into effect
  • and subject to and conditional on the Scheme becoming effective , re-register Sirius as a private limited company.

 

 

 

Comments

There are 4 comments on this page.

Ian Dixon, on 3rd March 2020 9:42pm
As a long term supporter and shareholder I now feel badly let down by the board.
I think all the locals who supported and bought into the Project have been misled and let down.
The Project has been started by all the local investors and now we are going to get a fraction back, thank you Sirius !
Der, on 3rd March 2020 10:48pm
Good old Chris Fraser. Wonder what he will do with his £ 6.8 million he's been given and also keeps his job.if i'm not mistaken. I doubt very much this project could of managed without the small shareholders . Talk about been sold down the river. Should be an investigation
Fileyman, on 4th March 2020 6:28am
There used to be advice that if you can't afford to loose money don't invest in high risk or new schemes.

Der, on 4th March 2020 4:37pm
hardly the point Fileyman. If we were in it JUST for profit we could have sold when it was peaking. But we invested in a sound world class project that WILL continue to profit even though they have done us over

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