In response to JSE-listed platinum group metals (PGMs) miner Impala Platinum (Implats) issuing an offer circular to shareholders of midtier PGMs miner Royal Bafokeng Platinum (RBPlat) on January 17, RBPlat says it will revert with its own response circular within 20 business days.
Implats and fellow PGMs miner Northam Platinum have both made offers for RBPlat, with RBPlat in December reporting it had received an unsolicited approach from Northam regarding its interest in acquiring all, or a portion of, the voting securities of RBPlat.
Implats’ offer, meanwhile, comprises paying RBPlat shareholders R90 in cash and 0.3 of an Implats share for every RBPlat share held, and applies to all RBPlat shares not currently held by Implats.
The RBPlat response circular will include the opinion of an independent expert firm – PSG Capital, which has been appointed by RBPlat’s independent board and will detail whether the Implats offer’s terms and conditions are fair and reasonable to RBPlat shareholders, as well as the views of RBPlat’s independent board on the merits of the offer.
Also, RBPlat informs its shareholders that it and Implats have jointly submitted the appropriate filings with the Competition Commission in respect of obtaining the requisite competition approval for Implats’ offer.
Currently, RBPlat and Implats are in the process of engaging with the Competition Commission in this respect, as is customary in transactions of this nature.
Meanwhile, following a response letter sent by RBPlat to Northam on December 10 to clarify the timing and commercial and financial terms of Northam’s offer, RBPlat reports that its independent board has received no further communication from Northam in this regard.
Also, RBPlat reports that no further engagements between Northam and it have taken place in this regard.
As such, RBPlat says the only offer it is considering at this stage is that made by Implats.
In addition, RBPlat reports that no further developments have been made in relation to the Takeover Regulation Panel (TRP) regarding the possible trigger of a mandatory offer in terms of Section 123 of the Companies Act, by Northam arising from its various announced dealings in RBPlat voting securities.
The investigation by the TRP and the engagement between it and RBPlat’s independent board are still ongoing.