Wednesday November 4,2015 : CELSIUS COAL AND FAVOURIT SIGN ACQUISITION AGREEMENT
Mining firm to rebrand as Favourit Limited.
Australian stock exchange-listed resource mining developer Celsius Coal Ltd has signed a heads of agreement (HOA) for the acquisition of Favourit Global Pty Ltd, saying Favourit’s social sports betting platform demonstrates potential for strong growth.
The unusual departure from the original nature of its business will require Celsius embark on a re-compliance process regarding the ASX’s admission requirements.
Celsius Coal will ultimately issue Favourit shareholders 57 million fully paid ordinary shares in Celsius at a deemed price of A$0.20 as consideration for the acquisition.
On completion of the deal, Celsius will change its name to Favourit Limited and undergo a Board change.
Current Favourit chief executive officer Gary Harris will be named Chairman of the Board while co-founder and former chief executive officer Toby Simmons, director Richard Kuo and non-executive director Dennis Verrios will serve as directors.
InfoPowa readers will recall Gary Harris being appointed chief executive officer by the social sports betting group early in September (see previous InfoPowa reports). Harris previously served as IT director and a board member for Sportingbet Australia Group between 2004 and 2013 where he was responsible for technology development and operations, growing online turnover from A$10 million to over A$2.4 billion.