Sierra Rutile's recommendation to accept Leonoil's offer

Sierra Rutile Holdings Limited (ASX:SRX) has updated its recommendation to shareholders to accept the off-market takeover bid made by Leonoil Company Limited. Leonoil's offer, which is now freed from all defeating conditions, assures a payment of $0.18 for each SRX share held and has gained over 75% voting power in SRX.

Executive commentary on Leonoil's offer

The Directors of SRX have updated their recommendation to SRX shareholders to accept the offer without delay. With Leonoil's voting power in SRX now well over 75%, the Sierra Rutile Directors consider it is very unlikely a superior proposal will emerge. The offer is also best and final as to the offer price in the absence of a competing proposal.

Summary of Leonoil's offer and outlook

Sierra Rutile Holdings Limited (ASX:SRX) has recommended its shareholders to accept the off-market takeover bid made by Leonoil Company Limited, which is now freed from all defeating conditions and assures a payment of $0.18 for each SRX share held. With Leonoil's voting power in SRX now well over 75%, the Directors consider it is very unlikely a superior proposal will emerge. The offer is also best and final as to the offer price in the absence of a competing proposal. Shareholders should refer to the Second Supplementary Bidder's Statement for instructions on how to accept the offer, and the offer will remain open for acceptance until 5:00pm (AWST) on 18 September 2024, unless further extended.