JOHANNESBURG (miningweekly.com) – JSE-listed mining holding company Assore would subscribe for 70.83-million shares in Australia-based explorer IronRidge Resources for £6.98-million.
Depending on the amount of equity raised by IronRidge upon listing on the Aim in January, this would result in Assore holding between 26.7% and 30.3% of IronRidge.
The subscription would be completed pursuant to the fulfilment of certain conditions, which included the admission of IronRidge to the Aim and approval by IronRidge’s shareholders at a general meeting expected to be held in Australia in early January.
Assore stated that this investment in IronRidge formed an important component of its objectives to evaluate, secure and develop long-term, value-enhancing, strategic investments on the African continent and elsewhere.
Assore’s proposed investment in IronRidge followed the lapse of an agreement between Assmang, which was jointly owned by Assore and miner African Rainbow Minerals, through which Assmang intended to subscribe for a 19.9% equity interest in IronRidge.