Roll-up, roll-out of DRDGold’s rejigged BEE
JOHANNESBURG (miningweekly.com) – JSE- and NYSE-listed gold mining company DRDGold said on Tuesday that it had reached agreement with its black economic-empowerment (BEE) partners, Khumo Gold and the DRDGold empowerment trust, to substitute its nine-year-old BEE structure with a new arrangement.
The total value of the transaction is R191-million.
Currently, DRDGold’s BEE partners hold shares at an operating level through the company’s subsidiary, Ergo Mining Operations - Khumo with a 20% stake and the trust with 6%.
The new deal involves Khumo and the trust exchanging their interest in the Ergo Mining Operations asset for 35-million and 10.5-million new DRDGold ordinary shares at JSE holding level.
The effect of the agreement is to give Khumo an 8.1% interest and the trust a 2.4% interest in DRDGold, headed by CEO Niël Pretorius, who stated in a media release that this ensured mining-right compliance.
The company said that it also provided Khumo and the trust with an opportunity to monetise the value of their interests in Ergo Mining Operations on a liquid JSE market, which would further South Africa’s BEE objectives.
The transaction had the added benefit of introducing operational and capital management flexibility for DRDGold over its core business.
The conclusion of the agreement was subject to both Department of Mineral Resources and shareholder consent, with Khumo and the trust agreeing not to sell their shares for a period of three years.
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
ZF Aftermarket is the after-sales division of the world-renowned German ZF group, a global leader in mobility technology.
VISIT SHOWROOM
Complete range of security sealing solutions including security seals bags and labels.
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
