Polo Resources Limited, the natural resources investment company domiciled in BVI, signed the agreement with an Australian gold exploration company Blackham Resources Limited. Under the terms of the agreement, Polo Resources agreed to subscribe for 49% of the enlarged capital of Perfectus Management Limited, which is the owner of 15% of Blackham’s issued fully paid ordinary share capital.
In consideration, the BVI company agreed to pay AU$1 million in cash and AU$2 million by way of issuing and allotting 7,317,564 new ordinary shares at an agreed price of 15 pence per share to Perfectus. The new shares will represent 2.64% of Polo’s enlarged issued share capital.
Upon completion of the transaction, Polo Resources increase its interest in Blackham from direct holding of 4.2% to a combined and indirect holding of 11.85%. The BVI company also has the right to acquire further 49% of Perfectus within the next two years, for AU$3 million to be satisfied by the issue or transfer to the vendor of ordinary shares in Polo at an agreed price of 15 pence per share.
The 7,317,564 new ordinary shares of Polo Resources, are expected to be admitted to trading on AIM on or around 2 June 2014. After the admission, Polo Resources’ enlarged issued share capital will amount to 276,940,309 ordinary shares.
