Firebird Global Master Income Fund completes takeover bid of Sallies Limited and increases interest to 74%

On October 5, 2009, JSE-listed fluorspar producer Sallies reported that the all share offer by Firebird Global Master Fund had closed.

US-based Firebird, a specialist asset management company, made an unconditional mandatory cash offer to Sallies shareholders, for a consideration of R0.18 for every Sallies security.

As of October 2, Firebird received valid acceptances of more than 70.9 million ordinary shares, and more than 1.3 million Sallies convertible debentures. This represented about 11% of the Sallies ordinary shares, and 1% of the convertible debentures. As a result, Firebird paid around R13 million in terms of the offer consideration.

Firebird's holding in Sallies increased from 63% to 74% of the issued share capital of the fluorspar miner and from 20% to 21% of the company's convertible debentures.

Firebird was advised in this transaction by a team from the Johannesburg office of Fasken Martineau that included Al Gourley, Dimitri Cavvadas, David Kriel and Deenan Pillay.