Sea floor resource specialist Nautilus (LON:NUS, TSE:NUS) is advising its shareholders to sit tight as the company waits to see whether a bid is forthcoming from minority shareholder Michael Bailey.
The company has become aware of plans for Bailey and an entity he controls to make an unsolicited offer for the company.
Bailey intends to pitch his cash bid at C$0.97 a share for the Toronto and AIM listed resource stock. The terms value Nautilus at C$238mln.
The tender offer is scheduled to expire at midnight, Eastern Standard Time, on March 1, 2013, though it may be extended.
Nautilus, meanwhile, says it has not had any contact with Bailey or any entity controlled by him in respect of the unsolicited offer, and the bid seems to have come as a complete surprise.
“The board of directors of Nautilus will consider the unsolicited offer if and when it is formally made. Nautilus advises its shareholders not to take any action in respect of such offer, if and when made, until shareholders have received further communication from the board of directors of Nautilus,” the company statement said.
Shares of Nautilus were up 17.25p to 46p in London prior to the start of trading in Toronto.