06:57 AM EDT, 03/11/2024 (MT Newswires) -- Silvercorp Metals Inc. ( SVM ) over the weekend informed its shareholders and OreCorp Limited shareholders that it will not waive its 50.1% minimum acceptance condition relating to its takeover bid for OreCorp's shares.

As a result, unless the condition is satisfied, Silvercorp will rescind all contracts resulting from acceptances of the offer and OreCorp shareholders will retain their OreCorp shares. Silvercorp will also elect to extend the offer period.

Silvercorp's offer is open for acceptances until March 22, unless extended or withdrawn.

If the deadline to meet obligations under the offer is postponed for more than one month, OreCorp shareholders who have already accepted the offer will be entitled to withdraw their acceptance and retain their OreCorp shares.

The move is intended to enhance the attractiveness of Silvercorp's offer by providing OreCorp shareholders with the opportunity to realize upon the current superior value of Silvercorp's offer.

It also eliminates risk for OreCorp shareholders that they will become a shareholder of a company that only holds a minority interest in OreCorp or that Silvercorp may take up the OreCorp shares accepted and then use them to accept a competing offer.

If Silvercorp receives acceptances from more than 50.1% of shareholders, Silvercorp would take up all shares accepted that it did not previously own.

Silvercorp said it believes that ensuring the condition remains in place will assist to bring a timely resolution to its offer.