Lonmin refinances

Lonmin, the platinum producer that was almost brought to its knees by strikes at its South African operations in the summer, has announced a chunky rights issue to improve its chances of passing its banking covenant tests.

Lonmin, the platinum producer that was almost brought to its knees by strikes at its South African operations in the summer, has announced a chunky rights issue to improve its chances of passing its banking covenant tests.

The group plans to raise in the region of $800m through the underwritten rights issue. Final details of the rights issue have yet to be determined but the new shares will be issued at a minimum price of $1 a share.

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