Friday, January 31 15:08:02
Canadian mining group, Almonty, today said it will not proceed with its proposed bid to buy Irish miner, Ormonde.
Late last year the Irish Takeover Panel told Almonty Industries, which had approached Ormonde with a proposal to buy it in an all-share deal, that it had until today to make the offer.
In a statement today, the Board of Ormonde said it notes today's announcement by Almonty Industries Inc that it will not proceed with an offer for the Company.
Chairman, Mike Donoghue said: "The Directors of Ormonde have been consistent and unanimous in their view that the unsolicited approach from Almonty and its proposed share for share exchange was opportunistic, without strategic or economic merit for Ormonde shareholders and that it provided no basis for engagement in light of Ormonde's ongoing focus on advancing the Group's flagship Barruecopardo Tungsten Project. In addition, one of the concerns we had regarding the operational performance of Almonty's Los Santos mine has been highlighted in an announcement released today by Almonty concerning a re-statement downward of its tungsten recovery rate for the year ended 30 September 2013."
"Released from the restrictions of the offer period, we will continue our focus on advancing Barruecopardo to production and we look forward to providing further updates to shareholders in this context in due course," Mr Donoghue added.