The equity capital markets team at Cobbetts has advised mineral exploration company, Sheba Exploration (UK) plc, on its proposed acquisition by gold mining production company, Centamin Egypt Limited.

The board of Sheba Exploration, which owns and operates three gold and base metal exploration licences in Northern Ethiopia, has recommended a £7.48 million offer for the entire issued and to be issued share capital of Sheba Exploration from Centamin Egypt. The recommended offer is to be satisfied in cash and in new shares in Centamin Egypt to be issued to shareholders of Sheba Exploration.

Centamin Egypt is incorporated in Australia and is dual listed on the main market of the London Stock Exchange and on the Toronto Stock Exchange. Centamin Egypt’s flagship project is the gold producing Sukari Gold Mine in the Eastern Desert of Egypt.

The Cobbetts team that advised Sheba Exploration was led by corporate partner Daniel O’Gorman.

Commenting on the transaction, Daniel O’Gorman said: “We were pleased to advise the board of Sheba Exploration on a transaction which aims both to realise value for shareholders of Sheba Exploration and to facilitate acceleration of the development of Sheba's projects in Ethiopia."

St Helens Capital Partners LLP provided corporate finance advice to Sheba Exploration.