Shares in Perth-based uranium company OmegaCorp Ltd have soared on a scrip offer worth almost $222 million from London-listed Central African Mining & Exploration Company Plc, coming after Canada-based Denison Mines Ltd's takeover bid last December.
The company is offering shareholders one CAMEC share for each OmegaCorp share, valuing the target at $1.44 a share, which the company says represents a 25 per cent premium to Denison's $1.15 per share offer.
Denison, which had extended the closing date on the takeover offer to 5:00pm CST today, disclosed on March 23 it had acquired a 31.51 per cent stake in OmegaCorp.
Denison had recently increased its bid for the company from $1.10 per share, valuing OmegaCorp at $177.6 million.
OmegaCorp, which is involved in heavy minerals sands and uranium exploration in southern Africa, made healthy gains today, ending 12.5 cents or 9.6 per cent higher at $1.42, after reaching a high of $1.43.
Earlier this year, OmegaCorp had revealed plans to spin off subsidiary Mavuzi Resources Ltd in an $8.8 million initial public offer, with a transplant of the current OmegaCorp board on the new company.
