This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Vitol Announces Cash Offer For Sterling Resources Ltd.

ROTTERDAM, Netherlands, Feb. 12, 2013 /CNW/ - Vitol Anker International B.V. (" Vitol Anker "), a wholly owned subsidiary of The Vitol Group (" Vitol"), announced that it intends to make an offer (the " Offer") to acquire all of the outstanding common shares (the " Shares") of Sterling Resources Ltd. (" Sterling" or the " Company") (TSXV: SLG), not beneficially owned by Vitol Anker and its affiliates, for cash consideration of $0.85 per share in a transaction which values the fully diluted share capital of Sterling at approximately $192 million.

Background to the Offer

Vitol and its affiliates provided a US$12 million loan to Sterling in early January to enable the Company to meet its short-term liquidity obligations.  Since that time, Vitol has held discussions with Sterling's management and, based on the Company's inability to find an acceptable long-term financing solution, Vitol Anker has decided to pursue an offer for the Company.  To that end, Vitol has held discussions with Sterling's board of directors (the " Sterling Board") with a view to secure a board-supported transaction but these discussions have, to date, not led to an agreement.  Given continuing rumours and uncertainty around the Company and its financial situation, Vitol Anker has made the decision to disclose its intentions.

Compelling Offer to Sterling Shareholders

The price to be paid in the Offer represents an attractive premium of:
  • 79% to Sterling's closing price on February 12, 2013, the last business day prior to this announcement; and
  • 48% to Sterling's 20-day volume-weighted average price as at February 12, 2013.

The cash price to be paid in the Offer provides Sterling's shareholders with certainty of value and immediate liquidity.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

Chart of I:DJI
DOW 16,351.38 +293.03 1.82%
S&P 500 1,948.86 +35.01 1.83%
NASDAQ 4,749.9790 +113.8740 2.46%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs