Chatham Rock Phosphate Ltd. (formerly Antipodes Gold Ltd.), further to its news release of Feb. 24, 2017, has completed the acquisition of the remaining 7 per cent of the issued shares of Chatham Rock Phosphate (N.Z.) Ltd.
These acquisitions were completed by way of a combination of processing additional acceptances of the takeover offer received by the company and by way of compulsory acquisition procedures under the provisions of the (New Zealand) Takeovers Code. As a result, the company now owns 100 per cent of the issued and outstanding shares of CRPNZ and its New Zealand Exchange Alternative Market (NZAX) trading symbol has been changed from AXG to CRP.
In total, the company issued 12,272,776 common shares to the former shareholders of CRPNZ in consideration for the acquisition of a 100-per-cent interest in CRPNZ. Following completion of the 1:10 share consolidation, the takeover of CRPNZ and the debt settlements described in the company’s news release of Feb. 24, 2017, the company now has a total of 13,627,813 issued and outstanding common shares, and mandatory warrants exercisable into an additional 379,214 common shares.
Antipodes Gold was renamed Chatham Rock Phosphate on Feb. 24, 2017, and now owns 100 per cent of the old Chatham Rock Phosphate. It is business as usual for the combined company.
The new Chatham Rock Phosphate is stock exchange listed in both New Zealand and Canada, with its primary listing being on the TSX Venture Exchange in Canada, where its trading symbol is NZP. Since the reconstructed company started trading in Canada, sales have been at 68 cents and 70 cents. In New Zealand currency terms, the most recent sale price of 70 cents in Canada is equivalent to 75 New Zealand cents.
In New Zealand, the last sale price on the NZAX, premerger, was nine New Zealand cents, implying a postmerger share price of 65.59 times that, or 59 New Zealand cents. Subsequently, there have been small sales here in New Zealand at 50 New Zealand cents, 48 New Zealand cents and 43 New Zealand cents. To summarize, the company’s shares are trading at 43 cents in one market and 75 New Zealand cents in the other.
This anomalous situation is not desirable but also not unusual in dual-listed stocks as investors in one market are not necessarily aware of the market price in the other.
In order to better inform the company’s shareholders, the home page of Chatham’s website now has links to its market prices on both markets.
