As a miner of coloured stones, Gemfields (GEM) is used to being stuck between a rock and a hard place. But the company and its investors have a new quandary on their hands, in the shape of a nil-premium takeover bid from 47 per cent shareholder Pallinghurst.
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Gemfields has now issued a rebuttal to the unsolicited offer, despite Pallinghurst attracting support from investors holding just over 75 per cent of the outstanding shares - a sufficient proportion to force the deal through. A committee headed by Gemfields chairman Graham Mascall this week said the offer was "derisory and clearly undervalues the company".
