Cardinal Board Recommends Shareholders Accept the Shandong Gold Offer Without Delay

TORONTO, Jan. 05, 2021 (GLOBE NEWSWIRE) -- Cardinal Resources Limited (ASX / TSX: CDV) (Cardinal or the Company) notes:

• the announcement made today by Shandong Gold Mining (HongKong) Co., Ltd. (Shandong Gold) that Shandong Gold has increased its aggregate acceptances in respect of its unconditional off-market takeover offer for Cardinal (Shandong Gold Offer) in excess of 68% of all Cardinal Shares;
• the ASX Release by Engineers & Planners Company Limited (E&P) released on the ASX on 31 December 2020 in which E&P stated that it will not proceed with its proposed off-market bid for all Cardinal Shares;
• the PR Newswire Press Release¹ dated 30 December 2020 by Dongshan Investments Limited (Dongshan) stating that it does not wish to waive its minimum 50.1% acceptance condition or proceed with the making of its takeover bid for Cardinal Shares; and
• the Nordgold S.E. (Nordgold) On-Market Takeover Bid has expired, Nordgold has stated that the Nordgold Off-Market Takeover Bid will not be dispatched and Nordgold has accepted the Shandong Gold Offer.

Other than the Shandong Gold Offer which is scheduled to expire at 7pm (Sydney time) on 12 January 2021, there are no other takeover offers available to shareholders, and the Company is not aware of any potential new offers to be presented.

Recommendation of Cardinal Board – Accept the Shandong Gold Offer

The Shandong Gold Offer is due to expire at 7pm (Sydney time) on 12 January 2021 (unless extended). Cardinal refers its Shareholders to:

	a)	the Key Reasons to Accept the Offer set out in Cardinal’s Target’s Statement dated 11 August 2020 (as supplemented) (Target’s Statement) in respect of the Shandong Gold Offer; and
	b)	Why you should accept the Offer in section 7 of the Fourth Supplementary Bidder’s Statement from Shandong Gold dated 29 December 2020.

In particular, Cardinal notes that if you retain your Cardinal Shares, the price which you will be able to sell them at a later date, the level of liquidity of Cardinal Shares and the continued listing of the Cardinal Shares on the ASX or TSX is uncertain and you will continue to be exposed to the risks associated with being a minority Cardinal Shareholder, some of those risks being set out in detail in the Target’s Statement which was released on the ASX on 11 August 2020.