Dual-listed Sibanye-Stillwater and platinum miner Lonmin on Thursday announced that their boards have reached an agreement on the terms of an increased recommended all-share offer for Lonmin’s entire share capital.
The boards believe the higher offer reflects the recent recovery in the platinum group metals pricing environment, weighted against Lonmin’s continued financial constraints and its inability to sustainably fund its business.
Under the terms of the increased offer, Lonmin shareholders will be entitled to one new Sibanye share for each Lonmin share held, reflecting a 3.4% increase – or an additional 0.033 of a new Sibanye share for each Lonmin share held – relative to the offer announced on December 14, 2017.
The increased offer is proposed to be effected through a UK scheme arrangement.
Sibanye shareholders were also advised that a general meeting would be held at the Sibanye-Stillwater Academy, near Westonaria, at 08:30 on May 28 to vote on the proposed transaction.