New Palabora owners to make mandatory offer, seek CEO
JOHANNESBURG (miningweekly.com) – South African copper producer Palabora Mining, in which a consortium of Chinese and South African entities now owns a majority stake, on Thursday said that the new 74.5%-owners would make a mandatory offer to minority shareholders and that it had started a process to appoint a new CEO.
MD Anthony Lennox stepped down on Wednesday after Rio Tinto and Anglo American successfully sold their share in the JSE-listed company to a consortium comprising Hebei Iron & Steel and the Industrial Development Corporation (IDC).
Craig Kinnell, Jean-Sebastien Jacques and his alternate Eric Yan, as well as Hendrick Faul also resigned as nonexecutive directors.
The board on Thursday announced the appointment six new nonexecutive directors and named Palabora’s GM of human resources, Maboko Mahlaole, interim CEO, while the process to find a permanent replacement for Lennox is under way.
Chengde Iron & Steel VP Jinghua Han, Tewoo enterprise management division director general Jie Yan, Hebei Iron & Steel International Trade Corporation GM Zejun Tian, General Nice Development company CFO Ng Tze For (Benjamin), IDC mining and manufacturing head Abel Malinga and former Palabora chairperson George Negota joined the board of directors.
Meanwhile, Palabora said it was understood that minority shareholders were to be offered R110 a share, plus an additional R5.95 a share, being a noncompounding escalation amount of 5% a year calculated from July 1, 2012, to July 31, 2013.
It stated that an announcement regarding the offer was expected on Thursday.
The IDC, which has a mandate to support South Africa’s beneficiation aspirations, owns a 20% stake in the consortium, with Hebei holding 35%, a privately owned Chinese trading company 25% and diversified group Tewoo 20%.
Rio Tinto announced in September last year that it would sell its 57.7% stake in Palabora, as it was no longer seen as a natural fit in its portfolio. Anglo American sold its 16.8% stake.
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