09 Mar 2011
Lawrence Graham advises Kalahari Minerals on CGNPGs £756m takeover bid
International business law firm Lawrence Graham LLP ("LG") has acted for Kalahari Minerals in connection with a £756 million possible cash offer for the company's entire share capital by Chinese state-owned CGNPG Uranium Resources Co., which was announced this week.
LG has advised Kalahari Minerals since pre-IPO funding and its subsequent admission to the AIM market with a market capitalisation of £14.2 million in 2006.
Kalahari Mineral's main asset is its 42 per cent stake in Extract Resources Limited, which owns the fifth largest uranium deposit in the world.
LG's Head of Middle East Corporate, partner Tim Casben, led on the deal. He said: "We are delighted to be representing Kalahari Minerals in this transaction which represents further evidence of the anticipated consolidation in the natural resources sector which is an area of focus for LG's corporate practice. An added complication is the potential requirement under Australian law for any bidder for Kalahari Minerals having to make a downstream offer for Extract Resources Limited which is listed on the ASX."
The possible offer is a culmination of interest from a number of different parties seeking a strategic holding in this high class Uranium deposit, which has taken on increasing international importance as nuclear energy has become a focus for countries throughout the world seeking to de-risk their reliance on oil.
Notes to editors:
- Lawrence Graham is ranked as the number one legal adviser by market capitalisation and total number of clients in the latest Hemscott Advisers Rankings Guide.