Aeris Resources Ltd’s (ASX:AIS) substantial shareholder Tudor Court Limited has shown confidence in the company’s growth strategy by purchasing 83,665,000 convertible redeemable preference shares (CPRS) from Standard Chartered Bank (SCB).
This takes Tudor Court’s overall holding, once the CRPS have been converted to ordinary issued shares, to about 19.9% of Aeris’ total issued share capital.
Aeris assisted SCB and Tudor Court in the transaction and will also redeem and cancel the remaining CPRS held by SCB (9,745,609) for US$1.00.
Tudor Court director, David Toms, has a long history with Aeris, having been a shareholder and founding member of the board of Straits Resources Limited (now Aeris) from 1994 until 2007.
Accretive for all shareholders
Aeris executive chairman Andre Labuschagne said: “The increase of Tudor Court’s share to 19.9% is a welcome show of confidence for Aeris’ growth strategy and we look forward to their continued support as a major shareholder.
“Additionally, the redeeming and cancelling of the remaining CRPS for a nominal amount will be accretive to all shareholders and further simplifies our capital structure.”
In late February, Aeris received high-grade copper drilling results from the Murrawombie underground mine as part of a brownfields exploration program at the Tritton Copper Operations in Central West NSW.
The drilling has extended mineralisation beyond the current indicated mineral resource envelope by 50 metres down plunge with new Hanging Wall mineralisation also defined over a 170-metre strike length.