April 21 (SeeNews) - The securities commission of Bosnia's Serb Republic has cleared a planned buyout bid for local metal profiles and tools maker Metal Gradiska [BLSE:METL] by its majority shareholder, metal product manufacturer Steel Mehanika, Metal Gradiska said on Thursday.
The bidder has to launch the takeover bid within seven days after the approval, Metal Gradiska said in a filing to the Banja Luka Stock Exchange (BLSE).
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Steel Mehanika plans to offer 2.52 marka ($1.4/1.3 euro) per each share of Metal Gradiska it does not already own.
Steel Mehanika acquired 707,164 shares, representing an equity stake of 82.45% in Metal Gradiska, for 1.5 million marka in three block transactions on March 14, BLSE data showed.
Metal Gradiska's total share capital is divided into 857,645 shares of 1 marka in par value each.
The takeover target's shares last changed hands in regular trading on March 7, closing flat at 2.52 marka.
Bosanska Gradiska-based Metal Gradiska manufactures metal pipes and profiles, metal furniture, wheelbarrows and tools.
The Serb Republic is one of two autonomous entities that form Bosnia and Herzegovina. The other one is the Federation.
(1 euro = 1.95583 marka)