CAPE TOWN: Metals trading and mining group Metmar, which has endured a few tough years on the JSE, is being wooed by a larger global rival. After market close on Friday, Luxembourg-based Traxys an R72bn a year metals marketing giant proposed buying out Metmar in a R294m transaction.
Traxys’ buyout bid is pitched at 110c per share. While this represents a sizeable premium to Metmar’s share price (which has dipped as low as 55c) over the past three months, market sources pointed out that the offer discounted Metmar’s last stated tangible net asset value of 135c per share. Eyebrows were also raised in the market on Friday when Metmar shares surged 27% to 89c before details of the proposed transaction were announced.
