Compulsory Acquisition Process to Commence
VANCOUVER, Jan. 5 /CNW/ - Farallon Mining Ltd. ("Farallon" or the
"Company") (TSX:FAN) today announced that it has been advised that
462,400,996 (or approximately 93.7%) of its common shares (the
"Shares") on a fully-diluted basis were validly deposited pursuant to
the previously announced offer by Nyrstar NV ("Nyrstar") to acquire all
of the outstanding common shares of Farallon (the "Offer").
The Offer was conditional on a number of customary conditions, including
a minimum acceptance condition of 66 2/3%, receipt of all regulatory
approvals and no material adverse change in Farallon's business. All of
these conditions have been satisfied and Nyrstar Canada has given
notice to the depositary that it will take up and pay for all of the
Shares deposited under the Offer. Payment for the deposited shares will
be made on or before January 12, 2011.
Nyrstar has also indicated that it intends to exercise its statutory
rights under the compulsory acquisition provisions of the. Business
Corporations Act (British Columbia) to acquire the remaining common
shares of Farallon that were not deposited pursuant to the Offer. Under
the terms of the compulsory acquisition, shareholders of Farallon will
be offered the same Cdn.$0.80 in cash for each common share acquired by
the acquisition procedure.
In conjunction with take-up of shares of Farallon, Farallon's Board of
Directors and Officers are resigning in favour of Nyrstar's
representatives. Effective immediately, Farallon's Board of Directors
will consist of Roland Junck (Nyrstar's Chief Executive Officer),
Michael Morley (Nyrstar's Chief Corporate and Development Officer) and
Greg McMillan (Nyrstar's Chief Operating Officer).
Farallon operates the G-9 zinc mine on its Campo Morado Property in
Guerrero State, Mexico. G-9 is an underground zinc mine with important
by-product credits of copper, gold, and silver. G-9 has total cash
costs amongst the lowest of zinc producers worldwide.
The partner of choice in essential resources for the development of a
changing world. Nyrstar is a leading global multi-metals business,
producing significant quantities of zinc and lead as well as other
products (including silver, gold and copper). Nyrstar is listed on
NYSE Euronext Brussels under the symbol NYR. For further information
visit the Nyrstar website, www.nyrstar.com
ON BEHALF OF THE BOARD OF DIRECTORS
J.R.H. (Dick) Whittington, President & CEO
Forward Looking Information
This news release includes certain statements that may be deemed
"forward-looking statements. There can be no certainty of the outcome
of the compulsory acquisition process. Shareholders who have not
tendered to the Nyrstar offer will wish to consult with their
SOURCE Farallon Mining Ltd.
For further information:
For further details, please visit the Company's website at www.farallonmining.com or contact Neil MacRae, Investor Relations Manager, at (604) 638-2160 or within North America at 1-877-688-2050.