Karora shareholders approve Westgold merger

Westgold Resources (ASX: WGX) expects to complete its transaction of Karora Resources by August 1 after securing approval from Karora shareholders.

Karora chairman and chief executive Paul Andre Huet says the shareholder approval was essential to proceeding with the transaction.

“The approval by approximately 99% of the votes cast on the resolutions regarding the proposed merger transaction with Westgold along with receipt of Financial Investment Review Board (FIRB) approval, represent two important milestones towards the closing of this transaction,” he said.

“We thank Karora shareholders for their overwhelming support of the combination of Westgold and Karora to create a dual ASX and Toronto Stock Exchange (TSX) listed top 5 Australian gold producer.”

Westgold managing director and chief executive Wayne Bramwell says support from Karora shareholders confirms the value and compelling commercial rationale behind the transaction.

“With the integration of the Karora assets, the expanded Westgold will have strategic footprints across two of Western Australia’s most prolific goldfields,” he said.

“With the integration of the Karora team we create an agile Australian gold mining powerhouse that is focused on free cash generation and shareholder returns.

“Our integration planning is well advanced and once final court orders are received and the transaction becomes effective, Westgold will formally welcome the Karora’s shareholders, stakeholders and team to the Westgold journey ahead.”

A final court hearing is scheduled for July 24.