Indonesian group cleared to acquire Kangaroo Resources

Indonesian coal mining group PT Bayan will pay $226 million to acquire the remaining shares in ASX-listed coal play Kangaroo Resources it does not already own, after the Supreme Court of Western Australia approved the takeover deal.

Kangaroo Resources announced to the ASX that PT Bayan’s offer of 15 cents per share was approved by Supreme Court Justice John Vaughn yesterday, with court orders lodged with the Australian Securities and Investments Commission today.

PT Banyan moved in August to buy out the remainder of Kangaroo Resources’ shareholders, having held around 56.05 per cent of the company’s stock at the time the acquisition was announced.

The 15 cents per share offer valued Kangaroo Resources at around $515 million.

Shareholders backed the deal late last month, after the scheme received the green light from the Foreign Investment Review Board.

Supreme Court approval was the final hurdle for the takeover bid to become effective.

Implementation of the scheme of arrangement is expected to take place on December 11.

HopgoodGanim Lawyers acted as Kangaroo Resources’ legal advisor on the scheme of arrangement.

Kangaroo Resources has interests in 14 coal mining concessions in Indonesia’s East Kalimantan region, where PT Bayan operates several open-cut coal mines and the Balikpapan Coal Terminal.

The companies had a strategic infrastructure sharing agreement in place to facilitate and optimise the development of each other’s coal projects.