Gunsynd pins Oyster sale delays on Madagascar government

30th Oct 2020 13:59

(Sharecast News) - Natural resources investment company Gunsynd updated the market on the Oyster transaction on Friday, reporting that discussions were ongoing.
The AIM-traded firm had announced an agreement with Sajawin on 12 May, to extend the deadline for the unmet conditions of the term sheet regarding the disposal of its shareholding in Oyster Oil and Gas through a share purchase variation agreement term sheet, from 30 April to 30 October.

At the time, Gunsynd said that if any of the conditions were not satisfied by 30 October, then either party could terminate the term sheet and the variation term sheet, at which time the parties' rights and obligations would immediately cease and Gunsynd would immediately return the initial payments to Sajawin.

"The conditions precedent have not been met as the Madagascar government has yet to renew the licence," the board said in its statement on Friday.

"Gunsynd remains in discussions over the transaction and will update the market as and when material developments occur."

At 1026 GMT, shares in Gunsynd were up 3.99% at 1.04p.