RBPlat extends fixed-term contracts of CEO and COO by six months

Mid-tier platinum group metals producer Royal Bafokeng Platinum (RBPlat) has extended the fixed-term contracts of its CEO Steve Phiri and COO Neil Carr by an additional six months pending the finalisation of the proposed takeover bid by Impala Platinum (Implats).

Implats is now the sole contender vying for a controlling stake in RBPlat after rival Northam Platinum pulled out of the race last week, citing a significant pullback in commodity prices.

Both Phiri and Carr retired nearly a year ago, but the company opted to retain their services on fixed-term contracts while Implats and Northam battled it out for control of its assets.

In a statement late on Tuesday after the market close, RBPlat said the two executives would remain with the group until October to ensure a smooth transition as and when the proposed deal is consummated.

“As a consequence of the extension, the executives’ entitlement to the cash bonus ... has been deferred and remains subject to the condition that they remain in the company’s employ until the expiry date and that they satisfy the existing performance conditions which pertain to the corporate action,” RBPlat said in a statement.

“As a further consequence of the extension, the executives remain eligible to participate in the company’s short-term incentive scheme for the current financial year.”

RBPlats’ shares ended 1.9% higher at R140.61 but have dropped 14.7% over the past year, according to Infront data.

mahlangua@businesslive.co.za