Premier African Minerals sinks on acceptance of Casa offer

Shares in Premier African Minerals were sinking on Tuesday morning, after the company accepted the general offer made by Arc Minerals to all Casa Mining shareholders, converting its entire interest in Casa into new Arc Minerals shares.

The AIM-traded firm said Arc Minerals - formerly known as Ortac Resources - had announced on 6 November last year that it would make an offer to acquire all of the outstanding shares in Casa for a consideration of 14.85 shares in Arc Minerals for each sale share

Premier African said the Casa offer was due to close on 10 May, and it accepted the Casa offer on Tuesday.

It currently owned 412,500 Casa shares, representing approximately 4.5% of Casa's issued share capital, and would therefore receive 6,128,822 new Arc Minerals shares as consideration, representing approximately 1.9% of the enlarged issued share capital of Arc Minerals.

At the last closing Arc Minerals' mid-market price of 2.45p, the consideration shares would be valued at around £0.15m.