Aurum Resources has closed its takeover offer for Mako Gold, securing over 91% ownership and initiating compulsory acquisition of remaining shares.
- Aurum Resources acquires 91.38% of Mako Gold shares
- Off-market takeover offer closed on 31 January 2025
- Compulsory acquisition process commenced for remaining shares
- Aurum aims to consolidate full ownership of Mako Gold
- Next update expected after compulsory acquisition completion
Takeover Offer Closure
Aurum Resources Limited (ASX: AUE) has officially closed its off-market takeover offer for all ordinary shares in Mako Gold Limited (ASX: MKG) as of 7:00pm Sydney time on 31 January 2025. The offer, which was announced earlier in January, has resulted in Aurum securing a substantial 91.38% relevant interest in Mako Gold’s shares, effectively positioning Aurum as the dominant shareholder.
Strategic Implications of Majority Ownership
With over 91% ownership, Aurum Resources is now moving swiftly to consolidate full control by initiating the compulsory acquisition process for the remaining minority shareholders. This step is a common practice in Australian corporate takeovers, allowing the majority owner to compulsorily acquire outstanding shares once a threshold, typically 90% ownership, is reached. Aurum’s move signals its intent to streamline Mako Gold’s ownership structure and potentially integrate operations more tightly.
Market and Shareholder Impact
The takeover and subsequent compulsory acquisition process will likely have several market implications. For Aurum, full ownership of Mako Gold could unlock synergies in exploration and development projects, particularly in the gold mining sector where both companies operate. For remaining Mako shareholders, the compulsory acquisition will provide a defined exit, though the terms and timing of this process remain to be disclosed. Investors will be watching closely for Aurum’s next update on the acquisition completion and any strategic plans announced thereafter.
Looking Ahead
As Aurum Resources moves to finalize its control over Mako Gold, the mining sector will be attentive to how this consolidation affects project development timelines and resource allocations. The Perth-based company’s ability to integrate Mako’s assets efficiently could enhance its competitive positioning in the gold market. Meanwhile, the compulsory acquisition process introduces a period of uncertainty for minority shareholders and market watchers alike.
Bottom Line?
Aurum’s takeover of Mako Gold marks a pivotal step toward full ownership, setting the stage for strategic consolidation in gold mining.
Questions in the middle?
- What price will Aurum offer for the remaining Mako Gold shares during compulsory acquisition?
- How will Aurum integrate Mako Gold’s assets into its existing portfolio?
- What are the potential operational or financial impacts of full ownership on Aurum’s future performance?