Golden Energy and Resources buys remaining stake in Stanmore owner for US$30m

MAINBOARD-LISTED miner Golden Energy and Resources (Gear) AUE plans to consolidate its stake in the majority owner of a key Australian subsidiary, for US$30 million.

Gear will buy out third-party Ascend Global Investment Fund's 20.3 per cent interest in a company that owns 75.3 per cent of Australia-listed coal producer Stanmore Resources.

The price tag was reached on a "willing-buyer, willing-seller" basis that took into account the net asset value of the sale shares, and the transaction is expected to be completed within 7 business days, the board of Gear said in its bourse filing.

The acquisition is not expected to have any material impact on Gear's earnings per share, but is expected to decrease its consolidated net tangible assets by 6.4 per cent for the year to Dec 31.

Gear shares closed on Friday (Dec 10) at S$0.31, down by half a Singapore cent or 1.59 per cent, before the announcement.