GLENCAR Explorations' net assets will rise from £9.2 million to £21.2 million following the proposed acquisition of a controlling interest in the Wassa project in Ghana, the placing of new shares, and open offer, according to a proforma balance sheet.

The acquisition will have to be approved by Glencar shareholders at an extraordinary general meeting. Wassa increased it profit before tax from $25,671 (£16,044) in 1994 to $100,833 in 1995.

The takeover document shows a legal claim of $3 million by Glencar, against Mecseki Ercbanyaszati Valladat, a Hungarian company, in respect of agreements entered in 1990 and 1991. It will be adjudicated on by an independent arbitrator in London next month but if unsuccessful, the value of Glencar's Hungarian investment, in the balance sheet, may have to be substantially written down or written off completely.

The placing and open offer will raise £12 million. The placing involves 12.6 million new ordinary shares at, 53p per share.