Metal Tiger PLC (AIM:MTR, OTC:MRTTF, ASX:MTR) said it sold its remaining 49% interest in Kalahari Metals Ltd (KML) to Cobre Ltd (ASX:CBE) in a cash and share deal.
The AIM and ASX-listed investor in natural resources announced in June that it planned to sell the stake.
READ: Metal Tiger calls end to joint ventures as it agrees to sell its stake in Kalahari Metals Limited
Cobre will acquire 24.5% of the shares in KML for £750,000 in cash.
Metal Tiger will also grant Cobre a call option for it to acquire the remaining 24.5% of Metal Tiger's shares in KML, exercisable for either £750,000 cash or the equivalent in Cobre shares (based on a 90-trading day volume-weighted average price) at the sole election of Cobre, providing Cobre a pathway to 100% ownership of KML.
In addition, Cobre has repaid all existing and outstanding shareholder loans, totalling almost US$1.3mln, made by Metal Tiger to KML by issuing about 6.6mln shares in Cobre to Metal Tiger.
Further to an announcement in August, Metal Tiger has received 9.8mln placing shares for its A$1.471mln investment in Cobre, as part of the second tranche of Cobre's A$7mln placement.
READ: Metal Tiger keeps stake topped up as Cobre raises funds
"We are pleased to have completed the disposal of our interest in KML, which completes an important transition phase for Metal Tiger PLC (AIM:MTR, OTC:MRTTF, ASX:MTR) as we move away from our project investment division to focus our strategy on substantially growing the company's net assets,” said Metal Tiger chief executive Michael McNeilly.
“We retain our exposure to KML's highly prospective exploration opportunities in Botswana through our 20.58% shareholding in Cobre.”