Continental Coal revises terms of South African stake sale
JOHANNESBURG (miningweekly.com) – ASX-listed Continental Coal this week agreed to revised terms from a new buyer of its 74% interest in South African subsidiary Continental Coal Limited South Africa (CCLSA).
A subsidiary of Ivory Mint Holdings has paid a $5-million deposit into escrow for the $75-million buyout, which was expected to receive Section 11 approval in South Africa by the end of January, after which the funds would be released to Continental Coal.
The final due diligence sign-off and execution of formal contracts were expected to be concluded by January 15, with a targeted completion date of February 28.
The deal would leave Continental Coal in a debt-free position as the purchase price would cover the complete payout and settlement of debt to Absa and EDF and the assignment of about A$100-million from Continental Coal’s loan account with CCLSA.
The transaction remained subject to all necessary South African Ministerial consent, as well as government, regulatory and third-party approvals, besides others.
Continental Coal had also concluded its $4-million rights issue, with the supplementary prospectus resulting in 800-million ordinary shares issued at $0.005.
Ivory Mint Holdings – and investors introduced by them – subscribed for 400-million shares as part of the transaction.
Continental Coal owns the Penumbra, Vlakvarkfontein and Ferreira coal mines in South Africa’s Mpumalanga province and was earlier planning to develop De Wittekrans, also in Mpumalanga, as a fourth mine.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Established in 1983, the ASTPM is an industry association and representative body of the welded carbon steel tube and pipe manufacturers of South...
VISIT SHOWROOM
ATI systems comprises five divisions: electrical assemblies, drives and controls, feedback sensors, enclosures, and strip guiding.
VISIT SHOWROOM
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
