Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Todd Corp acquires 19.9% stake in ASX-listed Wolf Minerals

Todd Corp acquires 19.9% stake in ASX-listed Wolf Minerals for A$10.6M

Dec. 24 (BusinessDesk) – Todd Corp, the investment company of New Zealand’s wealthiest family, has acquired a 19.9 percent stake in Wolf Minerals as part of a placement to help fund the ASX-listed company’s development of a Tungsten mine in southwest England.

TTI (NZ), a unit of Todd, subscribed for 39.4 million shares in Wolf at 27 cents apiece, a 12 percent premium to Wolf’s 30-day volume-weighted average price, the Perth-based company said in a statement to the ASX. It may acquire more shares in 2013.

In total Wolf raised A$20.3 million in a placement of 75.4 million shares including to existing major shareholders Resource Capital Fund V, a Denver-based private equity fund, and Traxys Projects, a specialist financier for resource projects.

Wolf, whose shares trade on both the ASX and London’s AIM market, is focused on developing the Hemerdon Tungsten and Tin Project in Devon, which it says is one the largest undeveloped tungsten and tin resources in the western world. Wolf holds an option over 100 percent of the project.

The placement is a key condition of a US$75 million bridge finance facility and US$7 million royalty from RCF, which has provided funding to allow the project to start. The royalty payment is an advance payment on 2 percent of gross revenue from the project which RCF has acquired.

Wolf needs to raise additional equity in 2013 of about 45 million pounds to repay the bridging finance and has been in talks with both RCF and Todd to take up about 25 million pounds of that.

Shares of Wolf last traded at 27.5 Australian cents on the ASX, valuing the company at A$31.4 million, and have climbed 25 percent in the past month. Because of the size of the capital raising, the plan requires approval of shareholders at a meeting in Perth on Jan. 24.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Sky City : Auckland Convention Centre Cost Jumps By A Fifth

SkyCity Entertainment Group, the casino and hotel operator, is in talks with the government on how to fund the increased cost of as much as $130 million to build an international convention centre in downtown Auckland, with further gambling concessions ruled out. The Auckland-based company has increased its estimate to build the centre to between $470 million and $530 million as the construction boom across the country drives up building costs and design changes add to the bill.
More>>

ALSO:

RMTU: Mediation Between Lyttelton Port And Union Fails

The Rail and Maritime Union (RMTU) has opted to continue its overtime ban indefinitely after mediation with the Lyttelton Port of Christchurch (LPC) failed to progress collective bargaining. More>>

Earlier:

Science Policy: Callaghan, NSC Funding Knocked In Submissions

Callaghan Innovation, which was last year allocated a budget of $566 million over four years to dish out research and development grants, and the National Science Challenges attracted criticism in submissions on the government’s draft national statement of science investment, with science funding largely seen as too fragmented. More>>

ALSO:

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

More:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news