JOHANNESBURG (miningweekly.com) – Platinum miner Northam Platinum on Friday said 97.7% of all noteholders under its R2-billion domestic medium-term note programme approved a proposed amendment to its noteholders’ guarantee agreement.
The amendment and restatement of the existing applicable pricing supplements and the schedules would also remove Khumama Platinum as a guarantor.
Khumama is a wholly-owned subsidiary of Northam which was part of Northam’s acquisition of the Booysendal mine, in 2008, from Mvelaphanda Resources.
“Khumama is, for all intents and purposes, a dormant private company. Accordingly, the proposed amendment will not adversely affect the guarantee detailed in the existing applicable pricing supplements,” the company said in a statement.
Northam is seeking to have Khumama voluntarily wound up in accordance with Section 80 of the Companies Act 71, following the unbundling by Khumama of its shares in Booysendal Platinum to Northam.
Booysendal will continue as a wholly owned subsidiary of Northam and a guarantor pursuant to the amended and restated applicable pricing supplements – the proposed amendment will simplify Northam’s group structure and remove administration costs associated with Khumama going forward.