Implats pushes back timing on RBPlat acquisition amid Northam intervention

Impala Platinum has pushed back the timing on its proposed acquisition of a controlling stake in Royal Bafokeng Platinum (RBPlat) by about seven weeks after an intervention by Northam in competition proceedings.

The Competition Commission had recommended the takeover proceed in April, but Northam indicated on May 18 it intends making an application to intervene in the Competition Tribunal approval processes. The commission acts as an investigating body, while the tribunal has a final say on antitrust matters.

Implats said in a statement on Friday it now expects its offer to close on August 5, having previously indicated a close of June 17.

Northam said on Friday it was not in a position to comment.

Implats had revived a decade-long bid for RBPlat’s assets at the end of October 2021 when it unveiled a new bid to take full control.

However, that plan was almost scuppered when Northam offered R180 a share to buy out majority shareholder Royal Bafokeng Holdings (RBH), the investment arm of the Bafokeng nation.

Northam has secured 34.68% of the smaller platinum miner, just less than the 35% threshold that would require a mandatory offer, while Implats has since said it would be happy with just majority control of RBPlat.

Implats has since built up its stake to 37.83%, and has made a general offer of R90 cash per RBPlat share plus 0.3 of an Implats share. 

Implats has been pursuing RBPlat in order to secure its low-cost, mechanised shafts and to extend the life of its own deep-level operations in the Rustenburg area.

In morning trade on Friday RBPlat’s shares were up 0.14% to R158, while Implats was trading 0.66% lower at R212.18.

gernetzkyk@businesslive.co.za