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GEOPACIFIC RESOURCES LTD M&A Activity 2017

Jul 27, 2017

65008_rns_2017-07-27_e96c70d5-c975-4f2e-9403-42f3032dcb8e.pdf

M&A Activity

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ASX Code: KGD 28 July 2017

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ASX Announcement & Media Release

Second Supplementary Bidder’s Statement

The Board of Kula Gold Limited (ASX:KGD, Kula ) advises that on 27 July 2017 Geopacific Resources Limited ( GPR ) lodged their Second Supplementary Bidder’s Statement ( SSBS ) increasing the offer.

The significant changes to the takeover offer are:

  • The offer is 1 GPR share for 1.1 Kula shares

  • The offer is unconditional

  • The offer closing date has been extended by four weeks to 1 September 2017

The Increased Offer is at a discount to the value weighted average price (VWAP) of Kula shares on the ASX, as shown below:

Company Cents per share
5 day VWAP 10 day VWAP 30 day VWAP
Kula shares 2.98 2.90 2.95
Implied value of 1.1 Kula shares 3.28 3.19 3.24
GPR shares 2.91 2.88 2.95
Discount on VWAP of offer of 1 GPRshare for 1.1 Kula shares(cents) 0.37 0.31 0.29
Percentage discount on VWAP of offerof 1 GPR share for 1.1 Kula shares 11.1% 9.7% 9.1%

Kula is reviewing the SSBS in conjunction with its advisers and will lodge the Supplementary Target’s Statement in due course but in the meantime, advise Kula shareholders to TAKE NO ACTION .

For further information please visit our website at www.kulagold.com.au or contact:

Mr. Garry Perotti Chief Financial Officer +61 8 6144 0588

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www.kulagold.com.au