April 7 (Reuters) - Magnetite Mines Ltd MGT.AX :
* Framework agreement for proposed merger with lodestone
* Framework agreement sets out basis for negotiation of purchase of 100% of Lodestone Equities Limited and its subsidiaries
* Acquisition would include Lodestone's flagship project - railway based olary high grade magnetite project.
* CHG is also a substantial shareholder in company, currently owning 16.94% of company's shares
* CHG is currently sole shareholder of lodestone
* Acquisition would also include 100% of south australian infrastructure solutions
* SSPA will provide that company will offer to all Lodestone shareholders scrip as consideration for their Lodestone shares
* Framework agreement between company, Coffee House Group Limited (Chg) and Lodestone Equities Limited
* On completion of transaction aggregate shareholdings of chg and each other lodestone shareholder will equal 51.5% of company
* From completion of transaction, CHG will have right to nominate up to 2 additional directors to board of company
* Also agreed to pay chg's and lodestone's costs and expenses in relation to transaction, incurred prior to completion of transaction Source text for Eikon: Further company coverage: MGT.AX