Cape Lambert shareholders approve sale

Tag : Steel Making

Potential takeover target Cape Lambert Iron Ore Ltd will proceedwith the sale of its namesake project in the Pilbara to ChinaMetallurgical Group Corporation for $400 million, aftershareholders voted in favour of the transaction in Perth.
When the deal was proposed in February, the junior iron oreexplorer said that if the sale was successful it would essentiallybecome a cashed-up shell seeking new projects.
Cape Lambert's largest shareholder, Russian steel making and mininggiant Evraz Group SA, is widely expected to launch a takeover forthe company.
According to a Cape Lambert spokesman, the company became awareprior to the meeting that Evraz did not plan to vote on sixresolutions relating to the issue of options to directors,employees and consultants, so these resolutions were removed.
Shares in Cape Lambert were down seven cents, or 8.7 per cent, to73.5 cents at 1232 AEST on Monday.
© 2008 AAP
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