Jubilee Platinum to acquire Platinum Australia

Jubilee Platinum said Monday it has executed transactional agreements to acquire Platinum Australia (PLA).

Jubilee Platinum said Monday it has executed transactional agreements to acquire Platinum Australia (PLA).

Under the deal, PLA shareholders will be offered one Jubilee share for every 2.593 PLA shares held.

The transaction will pool together assets to form an enlarged group with a stronger portfolio.

Jubilee said the enlarged group will result in a significant South African platinum group metals producer supported by strong prospects for expansion through the development of its near surface resources.

It will have a 63% shareholding in the Tjate project, one of the largest undeveloped platinum resources in South Africa.

"Jubilee has always been clear on its mission to form a fully integrated mine-to-metals company by combining world class platinum exploration assets with operational mines and refining processes," Chief Executive Leon Coetzer said.

"This transaction is driven both by the quality of assets that are merged to form such an integrated company as well as the opportunity offered to Jubilee shareholders in acquiring the assets at such favourable terms.

"The enlarged group offers significant value to both Jubilee and PLA shareholders in the formation of a uniquely positioned platinum mining and processing company."

Shares fell 2.20% to 11.12p at 09:42 Monday.

RD

Recommended

Why it pays to face up to your investment mistakes
Investment strategy

Why it pays to face up to your investment mistakes

Buying stocks can be a complicated business. But selling stocks can be tricky, too – even if you sell for the right reasons. Max King explains how to …
17 Sep 2021
Share tips of the week – 17 September
Share tips

Share tips of the week – 17 September

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
17 Sep 2021
Royal Mail will deliver for investors – here's how to play it
Trading

Royal Mail will deliver for investors – here's how to play it

Royal Mail Group has found its feet in the past 18 months and looks cheap. Matthew Partridge looks at how to trade the shares.
14 Sep 2021
The times may be changing, but don’t change how you invest
Small cap stocks

The times may be changing, but don’t change how you invest

We are living in strange times. But the basics of investing remain the same: buy fairly-priced stocks that can provide an income. And there are few be…
13 Sep 2021

Most Popular

The times may be changing, but don’t change how you invest
Small cap stocks

The times may be changing, but don’t change how you invest

We are living in strange times. But the basics of investing remain the same: buy fairly-priced stocks that can provide an income. And there are few be…
13 Sep 2021
Two shipping funds to buy for steady income
Investment trusts

Two shipping funds to buy for steady income

Returns from owning ships are volatile, but these two investment trusts are trying to make the sector less risky.
7 Sep 2021
Should investors be worried about stagflation?
US Economy

Should investors be worried about stagflation?

The latest US employment data has raised the ugly spectre of “stagflation” – weak growth and high inflation. John Stepek looks at what’s going on and …
6 Sep 2021