New Exxaro BEE roll-out edges forward
JOHANNESBURG (miningweekly.com) – Diversified mining company Exxaro on Tuesday published further comments and calculations on the implementation of its replacement black economic empowerment (BEE) transaction.
Exxaro announced in November last year that it would put in place a new BEE scheme that would decrease its BEE ownership from 50.19% to 30%.
The first step of the five-step transaction involves existing Main Street 333 shareholders investing into a BEE special purpose vehicle, the new BEECo, along with the State-owned Industrial Investment Corporation (IDC) and Exxaro itself.
The BEECo is raising funding from third parties, R700-million of which will be guaranteed by the IDC, and this funding will be used to buy additional Exxaro shares at a discount.
The outcome is that the new BEECo will own 30% of Exxaro shares, creating a dilution of 12.9% in the share price of Exxaro, which is headed by CEO Mxolisi Mgojo, the current Chamber of Mines president.
One of the largest black-owned South Africa-based diversified resources companies, Exxaro has also been verified as a Level 6 BEE contributor.
The Johannesburg Stock Exchange-listed company is one of South Africa’s largest coal producers and also has two wind-farm projects, Amakhala Emoyeni and Tsitsikamma Community Wind Farm, both running at planned capacity.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation