Goldplat, the AIM-listed gold producer in Africa, has reported that its South African gold recovery subsidiary, Goldplat Recovery(GPL) has signed a binding memorandum of agreement with its Black Economic Empowerment partner Amabubesi Property Holdings (Amabubesi).
The agreement enables Amabubesi to increase its interest in GPL from 15% to 26%, a criterium which Goldplat said was required by South African Black Economic Empowerment legislation to be in place before May 1st 2014.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The remaining 90% would be vendor financed by GPL with Amabubesi repaying the loan using its pro-rata dividends, Goldplat added. It said that the transaction values GPL at ZAR 268.21m (£19.16m).
Russell Lamming, Chief Executive Officer of Goldplat, said: "We are delighted to have signed this binding memorandum of agreement with our Black Economic Empowerment partners, ensuring our market leading South African gold recovery operation is 100% Black Economic Empowerment-compliant well in advance of the May 1st 2014 deadline."
Goldplat's share price was up 1.23% to 10.25p at 09:09 on Wednesday.
MF
-
ONS: UK house prices hit by September slump amid Autumn Budget uncertaintyThe latest Land Registry data shows Budget rumours are hitting the UK housing market
-
Young pension savers expect to ‘need £100,000 plus a year’ for a good retirementSome under 40s are aiming high for their pensions, reckoning they will need a pot big enough to generate six figures a year in retirement income, according to new research. Those much closer to taking their pension expect to need far less.
