Prosperity Minerals confirms merger offer, China

Prosperity Minerals confirms merger offer, China

Prosperity Minerals Holdings Ltd confirmed that it has received an initial approach from Prosperity International Holdings Ltd with a view to a possible offer being made for the company at a price no higher than 130 pence per ordinary Prosperity share.

Prosperity International stated that it will, by not later than the 28th day following its announcement on 15 July either, confirm its intention to make an offer, or state that it does not intend to make an offer. Prosperity International holds 64.07 per cent of the voting capital of the company.

Following the sale of the majority of its cement interests in China back in April 2010, Prosperity currently has a stake in two domestic producers. It owns a 33.06 per cent interest in Anhui Chaodong Cement Company located in the eastern Chinese province of Anhui. It also owns a 16.11 per cent interest in TCC Liaoning Cement Cement Company which operates a 2Mta cement and clinker production facility located near Dengta City, Liaoning Province, northern China.