| Thu 21 Apr 2011, 11:11 | | GDO - Gold One International Limited - Price and volume query received from |
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GDO
GDO
GDO - Gold One International Limited - Price and volume query received from
ASX Limited
Gold One International Limited
(Previously BMA Gold Limited)
Registered in Western Australia under the Corporations Act, 2001 (Cth)
Registration number ACN: 094 265 746
Registered as an external company in the Republic of South Africa
Registration number: 2009/000032/10
Share code on the ASX/JSE: GDO
ISIN: AU000000GDO5
OTCQX International: GLDZY
("Gold One" or the "company")
PRICE AND VOLUME QUERY RECEIVED FROM ASX LIMITED
Shareholders are advised that Gold One has received a query from the ASX
Limited in respect of the recent price and trading volume increase in the
company`s securities.
The query together with the company`s response thereto is set out below.
QUOTE
PRICE AND VOLUME QUERY
We have noted a change in the price of the Company`s securities from a close
of 43.5 cents on 20 April 2011 to an intra day high of 51 cents today. ASX
also notes the higher volumes of securities traded today.
In light of the price and volume change, please respond to each of the
following questions.
1. Is the Company aware of any information concerning it that has not been
announced which, if known, could be an explanation for recent trading in the
securities of the Company?
2. If the answer to question 1 is yes, can an announcement be made
immediately? If not, why not and when is it expected that an announcement
will be made?
Please note, if the answer to question 1 is yes and an announcement cannot be
made immediately, you need to contact us to discuss this and you need to
consider a trading halt (see below).
3. Is there any other explanation that the Company may have for the price and
volume change in the securities of the Company?
4. Please confirm that the Company is in compliance with the listing rules
and, in particular, listing rule 3.1.
Your response should be sent to me on facsimile number on (08) 9221 2020. It
should not be sent to the Company Announcements Office.
Unless the information is required immediately under listing rule 3.1, a
response is requested as soon as possible and, in any event, not later than
7:00 pm (WST) Wednesday, 27 April 2011.
The response must be in a form suitable for release to the market. If you
have any concern about release of a response please contact me immediately.
Listing rule 3.1
Listing rule 3.1 requires an entity to give ASX immediately any information
concerning it that a reasonable person would expect to have a material effect
on the price or value of the entity`s securities. The exceptions to this
requirement are set out in listing rule 3.1A.
In responding to this letter you should consult listing rule 3.1 and Guidance
Note 8 - Continuous Disclosure: listing rule 3.1.
If the information requested by this letter is information required to be
given to ASX under listing rule 3.1 your obligation is to disclose the
information immediately.
Your responsibility under listing rule 3.1 is not confined to, or necessarily
satisfied by, answering the questions set out in this letter.
Trading halt
If you are unable to respond by the time requested, or if the answer to
question 1 is yes and an announcement cannot be made immediately, you should
consider a request for a trading halt in the Company`s securities. As set out
in listing rule 17.1 and Guidance Note 16 - Trading Halts we may grant a
trading halt at your request. We may require the request to be in writing. We
are not required to act on your request. You must tell us each of the
following.
- The reasons for the trading halt.
- How long you want the trading halt to last.
- The event you expect to happen that will end the trading halt.
- That you are not aware of any reason why the trading halt should not be
granted.
- Any other information necessary to inform the market about the trading
halt, or that we ask for.
The trading halt cannot extend past the commencement of normal trading on the
second day after the day on which it is granted. If a trading halt is
requested and granted and you are still unable to reply to this letter before
the commencement of trading, suspension from quotation would normally be
imposed by us from the commencement of trading if not previously requested by
you. The same applies if you have requested a trading halt because you are
unable to release information to the market, and are still unable to do so
before the commencement of trading.
If you have any queries regarding any of the above, please let me know.
RE: PRICE AND VOLUME QUERY
In reply please see the following responses to your questions:
1. The Company notes the increase in the price and trading volume of its
securities on ASX over the period referred to in your letter.
The Company considers that the increase in price and trading volume is the
result of the "Becoming a substantial shareholder notice" lodged with the ASX
today, in which Baiyin Nonferrous Group Co. Limited discloses that it has
acquired an interest of 142,689,350 shares in Gold One (17.67%) at a price of
A$0.53 per Gold One share for a total cash consideration of A$75,625,355.50.
In addition, the Company notes the following:
a) its significant operational success, evidenced by the fact that the
Company exceeded its first quarter production target (5 April 2011 and
19 April 2011);
b) the positive response to recent international roadshows and
presentations by the Company (presentation slides released on 16 March
and 30 March 2011);
c) the shareholder approval of the Goliath Gold transaction, and
confirmation of the creation of Goliath Gold Mining limited, a new gold
exploration and development company controlled by the Company (22 March
2011);
d) the strong March 2011 quarterly report for Gold One (19 April 2011); and
e) a recognition that the Company`s share price may be considered low in
comparison with that of peer group companies.
In addition to its operational activities, as announced to the ASX on 30
March 2011, the Company has under contemplation from time to time various
initiatives to enhance shareholder returns, including corporate transactions.
In the Company`s view, all such transactions currently under contemplation
are both confidential and not at a stage to warrant disclosure because of
their incomplete nature.
For example, Gold One is currently assessing a potential acquisition
transaction, and also a potential change of control transaction for the
Company which, if it were to proceed, could involve an offer to Gold One
shareholders to acquire all of their shares, on terms and conditions yet to
be determined.
At this stage, as was the case on 30 March 2011, no binding arrangements have
been entered into in relation to the potential transactions referred to
above, and the Company can give no assurance that any transaction will
eventuate from those currently under contemplation. The Company will
continue to keep shareholders and the market informed.
The Company has appointed advisers in relation to the potential transactions
referred to above.
2. See answer to 1 above.
3. No, the Company does not have any explanation other than as set out in 1
above.
4. The Company confirms that it is compliant with the listing rules, and in
particular, listing rule 3.1.
UNQUOTE
Issued by Gold One International Limited
Website: www.gold1.co.za
Parktown, Johannesburg
21 April 2011
JSE SPONSOR
Macquarie First South Advisers (Pty) Limited
Neal Froneman President and CEO
+27 11 726 1047 (office) +27 83 628 0226 (mobile)
neal.froneman@gold1.co.za
Ilja Graulich Investor Relations
+27 11 726 1047 (office) +27 83 604 0820 (mobile)
ilja.graulich@gold1.co.za
Carol Smith Investor Relations
+27 11 726 1047 (office) +27 82 338 2228 (mobile)
carol.smith@gold1.co.za
Derek Besier Farrington National Sydney
+61 2 9332 4448 (office) +61 421 768 224 (mobile)
derek.besier@farrington.com.au
Date: 21/04/2011 11:11:01 Produced by the JSE SENS Department.
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