JOHANNESBURG (miningweekly.com) – JSE-listed Metmar is selling its West African Group (WAG) division, which specialises in the trading and supply of plastic raw materials, rubber and rubber chemicals, to West African International for R50-million plus the movement in the division’s net asset value between March 1 and July 1 to a maximum of R20-million.
The group believes the disposal will enable management to devote further focus to Metmar’s core metals and minerals trading business, while also freeing up existing banking and trade finance facilities for use in the group’s core business.
SNF International, which together with WAG, formed part of Metmar’s Polychem division will be retained by Metmar Trading.
The disposal was expected to be effective on July 1, subject to the fulfilment of key suspensive conditions by June 28.