The prestigious global investor, Black Rock, has increased its shareholding in JSE-, ASX- and Aim-listed coal company Coal of Africa Limited (CoAL) and not sold down its holding, as some reports had indicated.

CoAL financial director Blair Sergeant told Mining Weekly that recent substantial shareholder notices had caused confusion.

The first was the Bank of America, saying a week ago, without any details, that its relationship with Black Rock had been severed.

The notice gave the impression that the Bank of America had sold down 34-million shares in CoAL, whereas it was Black Rock, and not the Bank of America, that had held the shares.

The matter was, however, cleared up last week when Black Rock announced that it had, in fact, increased its holding by about 900 000 shares, to 34,9-million.

“Black Rock has actually been on the register for quite some time and today’s announcement was generated by them as required by law, indicating that the number of shares they hold in CoAL is 34 917 865, which represents 8,49%, compared to just over 34-million previously,” Sergeant explained.

“We are very happy that one of our major shareholders sees the current market as a buying opportunity rather than a time to be rushing out the door like plenty of others,” said Sergeant.

Black Rock, M&G, ArcelorMittal and the companies associated with its black economic-empowerment partners, he said, currently made up at least 60% of CoAL’s shareholding.

“They have all been very supportive, and Black Rock is a fantastic institutional shareholder to have on the register,” he added.

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