Last Friday, Goldsea revealed its intention to make an off-market takeover offer to acquire all Alto shares for 6.5 cents each in cash.
The offer values Alto at $20.7 million and has boosted shares 75% intra-day to 6.3 cents.
The offer is subject to conditions, including due diligence, a 90% minimum acceptance condition, and approval of the Australian Foreign Investment Review Board (FIRB).
Alto is focused on exploration at its Sandstone Gold Project in Western Australia, which has a JORC resource of 290,000 ounces grading 1.7 g/t gold.
Alto board recommends shareholders should TAKE NO ACTION
The company's board of directors have advised that shareholders should TAKE NO ACTION, and await the board's formal recommendation in the Target's Statement.
Alto’s Target's Statement will be issued within 15 days of Alto receiving notice from Goldsea that the Bidder's Statement and offers have been sent to all Alto Shareholders.