JOHANNESBURG (miningweekly.com) – The Competition Commission has unconditionally approved Chinese venture capital, private equity and private wealth management firm Heaven-Sent’s acquisition of JSE-listed Village Main Reef.
Heaven-Sent in February made an exclusive offer to acquire embattled Village for R12.25 a share, with the intention of delisting the group from the JSE next month.
The deal, which excluded three-million Treasury shares, represented a 14.49% premium to Village's closing share price on the JSE on February 3 and a 45.68% premium to its 30-day volume-weighted average share price.
The transaction excluded the troubled antimony and gold operation Consolidated Murchison (Cons Murch), in Limpopo, which had been placed into liquidation in February.
Cons Murch entered into voluntary business rescue in December, after unlisted Australian suitor Stibium Mining had failed to raise the $15-million needed to buy the 76.6% stake held by Village.
Village had committed R22-million as post-commencement finance to Cons Murch to enable the continued operation of the mine until the operation was sold, taken out of business rescue or until the funds were depleted.
Village operates the Tau Leko gold mine, in South Africa’s North West province.