Finland’s Ruukki to buy Sylvania Resources for €268 mln

Sylvania Resources Ltd (ASX: SLV) said it has entered into a merger agreement with Finland’s Ruukki Group PLC under which Ruukki will acquire Sylvania’s capital by paying 1 of its shares in return for 1.81 Sylvania shares, valuing the company at €268 million.

The offer represents a 28 percent premium to Sylvania’s ASX closing price on June 29, based on Rukki’s closing price on the same day on the NASDAQ OMX Helsinki exchange.

The combination of Ruukki and Sylvania will create an integrated, mine to metals platinum group metals (PGMs) and ferrochrome company. The enlarged group will retain the name Ruukki Group PLC.

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