The shares of Apollo Minerals (Australia) have jumped more than 50% after it informed that BVI holding company is going to increase its stake. Apollo said that British Virgin Islands company Hugo Natural Enterprises, representing the Chinese Iron and Steel Group, had advised it would increase its stake from 12% to 19.9%.
The BVI-Chinese group acquired an initial stake in Apollo in December 2007, and announced the increase of the interest to 19.9%, subject to shareholder and regulatory approval. Apollo has signed a non-binding memorandum of understanding that gives the BVI-Chinese group the right to market iron ore, subject to successful development. Apollo director Barru Woodhouse declined to reveal the identity of the Chinese Steel and Iron Group and the BVI-registered Hugo Natural Enterprises company.
