JOHANNESBURG (miningweekly.com) - JSW Energy, a unit of Indian steelmaker JSW Steel, would buy Strider Holdings' 49,8% stake in Royal Bafokeng Capital (RBC), which is a pyramid company of South African Coal Mining Holdings (SACMH).
SACMH said in a statement on Friday that the acquisition was priced at 30c for each of the shares in SACMH that are indirectly held by Strider.
The company also revealed that JSW Energy planned to acquire a 50,2% stake in Royal Bafokeng Ventures (RBV) and a 100% in Royal Bafokeng Holdings Resources (RBHR), held by Mainsail.
Mainsail and RBC collectively hold around 284,6-million shares in SACMH, which has certain coal concessions. Post-acquisition, the transaction would result in change in the control of SACMH.
Under a put-and-call agreement, the company would acquire a 50,20% stake of RBV held in RBC at 30c for each of the shares in SACMH that are indirectly held by RBV plus interest at the call rate from the date on which the offer by JSW for the remaining shares of the minorities is accepted by such minorities, to the date on which the put-or-call option is exercised.
In a similar transaction, JSW would also acquire a 100% stake in RBHR at 30c for each of the shares in SACMH.