Consmin gets Reliance (March 18, 2005)

Australian alloy-metals producer Consolidated Minerals (CNM-L) has netted 96% of the shares of nickel producer Reliance Mining in a takeover bid that closed Friday.

Consolidated had offered one of its shares for every ten Reliance shares, plus A30 per share, to take over the company. Reliance also had a series of convertible notes, for which Consolidated was offering the same trade ratio and cash payout.

Consolidated has said it will move to take up the remaining Reliance shares under compulsory-acquisition provisions of Australian corporate law.

The takeover adds nickel to Consolidated’s product mix, which included manganese from the Woodie Woodie mine and chromium from the Coobina mine, both in Western Australia.