Chariot Resources Enters into Agreement with China Sci-Tech Holdings

Toronto-based Chariot Resources Limited entered into an arrangement where China Sci-Tech has agreed to acquire through an indirect, wholly-owned subsidiary, by way of a court-approved plan of arrangement, all of the issued and outstanding common shares of Chariot at a price of C$0.67 in cash per common share. Under the terms of the arrangement agreement, Chariot has agreed not to solicit or initiate any discussion regarding any other acquisition proposal. Chariot has also granted a right to match any unsolicited superior proposal and will pay a termination fee of $7.6 million to China Sci-Tech if the arrangement agreement is terminated in certain events, including if Chariot agrees to a better offer or if China Sci-Tech terminates the arrangement agreement in circumstances where Chariot recommends or approves any other acquisition proposal. Chariot Resources focuses on the exploration, acquisition and development of copper and precious metals in Latin America.