Hammer Metals (ASX:HMX) said the Federal Court of Australia has ordered the company to convene shareholder meetings to vote on its proposed acquisition by Austral Resources Australia (ASX:AR1) while approving the dispatch of the scheme booklet, according to an Australian bourse filing on Oct. 2 after market hours.

The scheme booklet has been registered with the Australian Securities and Investments Commission and is expected to be distributed to shareholders around Thursday, per the filing.

The independent expert has found the scheme to be fair, reasonable, and in the best interests of shareholders, while the company's board unanimously recommends that shareholders vote in favor of the scheme in the absence of a superior proposal, the filing said.

The company is also proposing to demerge its Western Australian gold assets held by Carnegie Exploration by transferring all shares in Carnegie to Carnegie Resources, followed by a capital reduction and in-specie distribution of Carnegie Resources shares to the company shareholders, subject to approval at a general meeting.

The demerger meeting and scheme meeting are scheduled to be held on Nov. 9, the filing added.