Helix Resources Ltd (ASX:HLX) Enters Implementation Agreement with Acta

Agreement Details

Helix Resources Ltd (Helix) has announced an Implementation Agreement with Acta Investment Group Pty Ltd, the bidder in the current proportional takeover offer. The agreement reduces the conditionality of the offer, increases available capital, and facilitates Helix’s focus on shareholder value creation.

Acta will subscribe for 100 million fully paid ordinary shares in Helix at $0.005 per share, aligning the investment with the bid price and bringing approximately $500,000 into the company. This placement will be executed by January 2, 2024.

Board Changes and Priorities

As part of the revised agreement, Acta will nominate Mr Michael Povey as Executive Chairman while Mr Mike Rosenstreich will transition to a non-executive director role. The agreement alleviates many of the onerous conditions previously linked to the takeover offer, increasing certainty for shareholders regarding its completion.

The Helix Board, through ongoing dialogue with Acta, has noted the commitment to thorough examination of Helix’s Cobar assets amid recent challenges affecting their Bryah Basin project acquisitions.

Executive Comments

Kylie Prendergast, Managing Director of Helix, stated, “We are pleased to present shareholders with the details of an Implementation Agreement which provides a path forward that reduces the conditionality of the Offer.” She highlighted that these terms present a more attractive opportunity for shareholders amid current market conditions and noted the company’s resilience during this transformational phase.

Supplementary Target’s Statement

Helix has released a Supplementary Target’s Statement, recommending that shareholders accept the offer from Acta. The directors of Helix plan to accept the offer in respect of their shares, providing guidance for shareholders as they evaluate the proposal. Shareholders are urged to read the Statement thoroughly and consult with financial advisors as needed.

The Board continues to engage with shareholders, committing to provide updates on future developments and ensuring clarity on the current proposals.

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Motley Fool contributor Lianne Eastty has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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