Opportunistic, Inadequate & Undervalue …Sierra Rutile Describes Craig Dean’s Offer

Sierra Rutile Continues to ask his shareholder not to take any action concerning the on market take over by PRM Services LLC to acquire all of the Sierra Rutile Shares it doesn’t own at a price of A 0.095 per share.
That the directors have formed a preliminary view subject to further analysis which will be provided in the targeted statement that the offer is inadequate.

The directors said that the offer is opportunistically timed ahead of key value catalyst such as the Sembehun DFS and does not reflect Sierra Rutile significant strategic value and that PRM’s offer and associated actions demonstrate PRM is seeking control without offering an adequate premium.

They went on to say that Sierra Rutile Area 1 operation provides optionally underpinned by its robust balance sheet and that Sembehum DFS target for mid-April 2024 to demonstrate significant value and that Mineral sand market value is showing signs of improvement.

The directors noted that if the shareholders accept the offer, they will be unable to participate in any increase in the PRM offer price or accept a superior proposal should one emerge, pointing out that Shareholders should note that the market price of Sierra Rutile shares has remained above the A$0.095 price of the offer at all times since the offer was announced.

“We have formed the view that the offer is opportunistic, inadequate and undervalues the company, following the Board’s preliminary review of the unsolicited on market takeover from PRM,” says Sierra Rutile Chairman Creg Martins.

PRM Services LLC is registered in the Commonwealth of Puerto Rico and owned by Craig Dean who also owns 75% shares in Gerald Group that incidentally owns Marampa Mines in Sierra Leone.