India NRE Minerals and Gujarat NRE Resources Agree Merger
Monday, September 3rd, 2007
India NRE Minerals and Gujarat NRE Resources have agreed to recommend a merger of the two companies (subject to independent experts’ reports) to form a focussed coal mining company with 3 mines in the southern coalfields of New South Wales. The proposed merger will take place by way of a scrip offer by India NRE Minerals for all the issued shares in Gujarat NRE Resources. The consideration to be offered is 3 INR shares for every 4 GUJ fully paid shares which values the merged company on a fully diluted basis at approximately A$480 million based on India NRE Minerals’ closing trading price as at August 30, 2007.