Black economic empowerment (BEE) grouping Savannah Resources will acquire 26% of Aquarius Platinum South Africa (AQPSA) for a cash consideration of R860-million, London-listed Aquarius Platinum (AQP) announced on Wednesday.
On completion of the transaction, AQP will be fully compliant with the equity ownership component of South Africa’s mining charter, the company stated.
The Industrial Development Corporation of South Africa (IDC) and the empowerment group are set to commit R415-million of the funding, subject to certain conditions.
AQP will grant options to acquire shares in AQP in consideration for the transfer to AQP of the empowerment investor’s interest in AQPSA; subject to approval of AQP shareholders.
The empowerment investors consist of:
Savannah Resources: Savannah is held by Zwelakhe Sisulu (chairperson), Zwelakhe Mankazana (executive director), Kofi Morna (executive director) and Enos Banda (non-executive director). Savannah will hold 16,7% of the enlarged share capital of AQPSA;
Chuma Holdings: Chuma is a women-owned and -managed black empowerment company. The company is led by Andisiwe Kawa (chairperson and CEO) and HRH Princess Zenani Mandela-Dlamini (executive director). Chuma will hold 6,6% of the enlarged share capital of AQPSA; and
Malibongwe Women’s Development Organisation: Malibongwe will hold 2,7% of the enlarged share capital of AQPSA.
The transaction is expected to be completed in the first quarter of 2004. — I-Net Bridge