Glencore acquires controlling interest in Optimum

Glencore International, a FTSE 100 mining company, has acquired a controlling interest in Optimum Coal Holding.

The miner, which already owned a 31.21% stake, purchased a further 36.56% with its local Black Economic Empowerment partner, Cyril Rapmaphosa.

Glencore and its partner are now required to make a mandatory offer to acquire the shares of all shareholders of Optimum. They will offer the remaining shareholders 38 South African Rand per Optimum share (£3.14).

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Tor Peterson, director of the Coal/Coke commodity department, said: "Optimum will add to our coal presence in South Africa and will be highly complimentary to our joint venture Shanduka Coal and our investment in Umcebo. South Africa is an important producer to supply the growing Chinese and Indian markets, so we are delighted to add to our business in the country with our partner Cyril Ramaphosa."

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