Sibanye to raise $2bn in debt, equity for Stillwater
The producers can now go to their shareholders to vote on the takeover by the South African company
Sibanye Gold’s shareholders now hold the company’s platinum ambitions in their hands, with a vote next week to approve a $2.2bn cash purchase of North America’s palladium and platinum producer Stillwater Mining. Sibanye cleared the last regulatory obstacle in the US, meaning both companies can now go to their shareholders to vote on the takeover by the South African company. Sibanye, which is 20% Chinese owned, said on Tuesday it had received “unconditional approval” from the Committee on Foreign Investment in the US for the takeover. Sibanye outlined its plans to secure $2bn towards repaying a $2.65bn bridging loan to buy Stillwater, a deal that will push it into third place in the global ranking of palladium producers and make it the fourth largest platinum group metal producer. Sibanye will ask shareholders on April 25 to vote in favour of the deal and for the company to issue $1bn worth of shares to help repay the bridging loan underwritten by a syndicate of 16 local and interna...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.