Gindalbie Flags Major Changes

ASX-listed Gindalbie Minerals on Monday announced the demerger of its subsidiary Coda Minerals, and its simultaneous takeover by Chinese shareholder Ansteel.

The demerger of Coda, which holds the rights to a significant and strategic portfolio of tenements in South Australia, would be done through a capital reduction, with Gindalbie shareholders to receive a pro-rata distribution of Coda shares for every Gindalbie share held.

Coda will hold the Mt Gunson assets and A$10.64-million in cash.

Gindalbie said on Monday that the demerger would allow Coda to further exploit exploration opportunities while removing the subsidiary from significant contingent liabilities remaining with Ginalbie, arising from Gindalbie’s stake in the Karara iron-ore project.