Azumah Resources

A$33m Recommended Takeover by Ibaera Capital

February 2020

In September 2019, Ibaera Capital (“Ibaera”), a mining focused private equity fund, announced an unsolicited, on-market cash offer for Azumah Resources (“Azumah”), Ibaera’s joint venture partner in the 2.8 million ounce Wa Gold Project, located in northern Ghana.

Ibaera’s final offer of A$0.033 per Azumah share valued Azumah at approximately A$33 million, and represented a premium of approximately 136% to Azumah’s last traded price prior to the announcement of the offer, and a premium of approximately 18% to Ibaera’s initial offer price of A$0.028 per share.

Azumah’s Board recommended that shareholders accept the increased offer of A$0.033. On 6 February 2020, Ibaera announced that it had obtained acceptances of 90%, entitling it to proceed to compulsory acquisition of the remaining shares.

Azure advised Azumah on all aspects of the transaction including valuation and strategic advice, defence tactics, structuring and negotiation of the relevant transaction agreements and liaising with key Azumah shareholders to secure their support for the recommended transaction.