SACMH to delist from JSE
JOHANNESBURG (miningweekly.com) – South African Coal Mining Holdings (SACMH) plans to delist from the JSE, citing the fact that its mine has been on care and maintenance for an extended period of time and that the coal it produces does not meet the requirements of the Richards Bay Coal Terminal for export, as reasons for its decision.
The company further pointed out that the cost of mining coal at such a relatively small operation was more than the dollar export prices achieved for coal, making the operation unviable.
It added that it was administratively intensive and costly for the company to maintain its listing on the JSE, noting that the volume of trade over the last few years had been relatively insignificant.
SACMH had already suspended trading of its shares on May 4.
The delisting would be accompanied by an offer from majority shareholder JSW Energy Natural Resources South Africa, which currently held 76.04% of SACHM’s shares, to acquire the remaining ordinary shares it does not own at a consideration equal to 9c apiece.
Should all the remaining shareholders accept the offer, the maximum offer consideration would be R13.3-million.
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