JOHANNESBURG (miningweekly.com) – Speciality alloys producer Afarak Group’s Afarak Mogale subsidiary will buy the 10% stake in the subsidiary held by the Mogale Alloys Trust for R64.9-million.
Afarak Group in 2009 bought a 90% stake in Afarak Mogale, with the balance held by the trust. The trust has, on several occasions, requested that Afarak acquire its 10% stake in Afarak Mogale.
The share buyback scheme will see the shares transferred to Afarak over an eight-year period.
"This buyback is an important element in consolidating our position in South Africa,” Afarak Group CEO Guy Konsbruck said on Wednesday.