Strategic Minerals to acquire outstanding shares in Central Australia Rare Earths Pty Ltd

Shares in Strategic Minerals are up more than 5% after agreeing to acquire the shares it does not already own in joint venture Central Australia Rare Earths Pty Ltd (CARE).

It was acquiring the shares from JV partner Rarus Ltd for £522,500 in shares, with the latter company subscribing for 19m new Strategic Minerals' shares at £0.0275 each.

The deal would be completed before 1 June 2017.

"While CARE will become a 100% subsidiary of SML, Andrew Spinks, the geologist associated with Rarus, has agreed to continued involvement in CARE's various projects through the provision of strategic professional advice, at market rates," said Strategic Minerals.

Strategic Minerals' chairman, Alan Broome, had declared his directorships in Rarus and CARE had excused himself from any further dealings with the acquisition.

At 14:36 BST, shares in AIM-quoted Strategic Minerals were ahead 5.32% to 2.48p each.