The deal came after negotiations were extended several times and the proposed purchase price for Lakeside was slashed 25 percent from C40 cents (39.8 cents) per share originally (AMM, Jan. 11).
The offer represents a 326-percent premium to Lakeside’s closing price of C7 cents (6.9 cents) per share on Dec. 15, the last day of trading on the TSX Venture Exchange before Lakeside announced that it had entered negotiations with a potential purchaser, then unnamed.
The acquisition, which remains subject to court and shareholder approval as well as other conditions, is expected to close early in the second quarter, the two companies said.
"This strategic acquisition will dramatically increase our capabilities...
Cangzhou Steel Pipe Group (CSPG) Co., Ltd. is a large-sized, key metallurgic enterprise of Hebei Province in North China, whose history dates back to 1994. CSPG currently em/paces six member companies with products varying from SSAW, LSAW, ERW, seamless steel pipes to 3PE pipes, galvanized pipes, casing pipes, etc. A Joint-stock corporation, CSPG occupies an area of 600,000 square meters with a total asset of $530 million.
Specialized in the production of straight welded pipe spiral pipe galvanized pipe 3PE/3PP/FBE/TPEP internal and external epoxy powder internal and external epoxy resin cement mortar two cloth three oil buried pipeline IPN8710 non-toxic drinking water internal and external plastic coated lining plastic and other anti-corrosion pipe fittings for oil and gas pipeline water conservancy projects
Executive standard :DIN30670 DIN30678 CSA Z245 AFNOR nf49-710/711 NACE rp0394/0490 AWWAC 210/C213GB/T9711 API 5L ISO 3183Material: Q235B/Q355BGR A GR B x42-x80 l245-l555
Business scope: 21.3mm-3620mmLSAW submerged arc welded pipe 325-2020mmERW straight welded pipe 6mm-711mmSMLS seamless tube 10-1120mmSSAW spiral steel tube 219-3620mmDemand for quality suppliers and partners
