Pallinghurst Resources landed a prize catch, securing the 75% of London-listed Gemfields shares it needed to take the world’s leading listed gemstone producer private and allowing it to take operational control of underperforming mines. Pallinghurst Resources, the JSE-listed mining investment company, had secured control of Gemfields and would delist it once its offer for the company expired on July 4, by which time it hoped to raise its stake well above the 75% stake it now held, said CEO Arne Frandsen. In securing 96% support from its own shareholders for the nil-premium, all-share offer for Gemfields, Pallinghurst saw off a premium cash offer from China’s Fosun Gold for the miner with an emerald mine in Zambia and a ruby mine in Mozambique. Gemfields shareholders would retain exposure to any improvement in Gemfields rather than lose all exposure the Fosun deal would have resulted in, Frandsen said. By Tuesday morning, Pallinghurst increased the shares tendered for its offer to ab...
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