RE: Hey, OGR guys, give us your shares as cheap as Oh no, please don´t sell for .11:
Oro reminds holders to reject "lowball" Wexford offer
2012-08-07 08:40 ET - News Release
Mr. Robert Kendrick reports
ORO MINING BOARD REMINDS SHAREHOLDERS OF ITS RECOMMENDATION TO REJECT WEXFORD'S OPPORTUNISTIC "LOWBALL" OFFER
Oro Mining Ltd. is reminding shareholders of its recommendation to reject the opportunistic "lowball" offer by Wexford Spectrum Trading Ltd. and Wexford Catalyst Trading Ltd., private hedge funds managed and controlled by Wexford Capital LP, to acquire any and all common shares of Oro at a price of 11 cents per common share, which offer is currently set to expire at 5 p.m. ET on Thursday, Aug. 9, 2012.
The Board has previously advised shareholders in its Directors' Circular and by press release that, after a thorough review of the Wexford offer in consultation with its legal and financial advisors, it has determined that the offer fails to provide adequate value for Oro shares and is an attempt by Wexford to acquire Oro shares without offering adequate consideration to Oro shareholders. The Board has therefore recommended that Oro shareholders reject the Wexford offer and do not tender any of their shares to the offer. Shareholders who have tendered common shares to the offer can easily withdraw such shares by contacting their broker or, should they require assistance in doing so, should contact the Company at the telephone number listed below.
Robert Kendrick, Chairman of Oro's Board of Directors, stated, "We hope that we have been able to convey to shareholders in the Directors' Circular and other disclosures that the Wexford offer of
.11 is a "lowball" offer that significantly undervalues our Taunus deposit, other mineral properties, current working capital position and upside and growth potential. It is the Board's strong view that, not only would it be premature to conduct a sale of Oro at this time, it would not be in the best interest of shareholders to do so as it would prevent them from participating in the near term increase in value expected from the development of the Taunus deposit. The current depressed state of the junior resource market has driven down the trading prices of most junior resource company stocks and Oro is no exception. Wexford's opportunistic offer has been purposely launched at a market bottom and when our shares were trading close to our all-time trading low. Oro has a very capable management team with a successful track record of developing and operating gold mines and the Board firmly believes that shareholders are most likely to maximize the value of their investment in Oro shares by remaining as shareholders of the Company."
Mr. Kendrick went on to state: "During the course of the Wexford takeover bid, we have communicated with numerous shareholders about the bid and shareholders have overwhelmingly indicated to us that they do not intend to tender to it. We would like to thank our shareholders for their continuing support and patience in allowing the Company to execute on its business and mine development plans."
We seek Safe Harbor.