BC Iron Ltd (ASX:BCI) says it will challenge the decision from its shareholder, Hong Kong’s Regent Pacific Group, to abandon its $345 million takeover of the junior iron ore miner.
Last week Regent Pacific pulled out of the friendly takeover over concerns that BC Iron’s other major shareholder, Consolidated Minerals, objected to the deal.
BC Iron says it now intends to apply to the Takeovers Panel to challenge Regent Pacific’s termination of the scheme implementation agreement and insist the deal proceeds.
BC Iron says before Regent Pacific walked out on the deal the scheme booklet and associated documents were well progressed.
The company is now appealing to the Takeover’s Panel to intervene and provide the requested relief.
In the six months to 31 December 2010, BC Iron posted a net profit of $1.3 million.
