DMCI ups stake in London-based Toledo Mining to 37.7%

DMCI Mining Corp. has raised its exposure in Toledo Mining Corp. Plc. to 37.7 percent following the purchase of an additional 20.7 percent stake in the London-based miner.

 

The Philippine miner acquired an additional 10.34 million Toledo Mining shares at 50 pence per share held by Jason Cropper, parent DMCI Holdings Inc. noted in a statement to the Philippine Stock Exchange on Tuesday.

 

“Toledo Mining Corporation Plc. is focused on the mining and development of nickel laterite deposits in the Philippines. The company has strategic interests in four large nickel deposits on the island of Palawan. These deposits contain a total potential resource of approximately 3.8 million tonnes nickel metal,” according to minesite.com.

 

Toledo Mining is listed on the London Stock Exchange's AIM Market, minesite.com noted. 

 

AIM-London Stock Exchange is the stock market for smaller growing companies, according to its website. 

 

DMCI Mining said it would launch a mandatory cash offer to buy all Toledo Mining stocks held by other shareholders at the same price it offered Cropper. The Philippine miner valued Toledo Mining’s existing issued shares at £24.9 million (roughly P156.53 million).

      

The offer price represents a 66 percent premium to 30 pence, the volume weighted average price in the  prior three months, and 61 percent to 31 pence, the closing mid-market price on Feb. 14

 

DMCI Mining—primarily engaged in ore and mineral mining and exploration—owns an 18.6 percent indirect interest in Berong Nickel Corp., in which Toledo has a 40 percent stake.

 

“Our offer to the remaining Toledo shareholders represents an attractive opportunity to crystallize a significant premium to the prevailing market price in cash today,” said Isidro Consunji, DMCI Mining chairman and chief executive officer.

 

Listed on the PSE, DMCI Holdings has a market capitalization of approximately $3.4 billion as of Feb. 15. 

 

It has a majority stake in disaster stricken Semirara Mining Corp., the open pit coal mining operation on Semirara Island  in Antique. — VS, GMA News