Sibanye jumps as market warms to split

Sibanye Gold chief executive Neal Froneman. Photo: Simphiwe Mbokazi/ Independent Media

Sibanye Gold chief executive Neal Froneman. Photo: Simphiwe Mbokazi/ Independent Media

Published Feb 12, 2013

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Johannesburg - Shares of Sibanye jump more than 6 percent as the market warms to its potential as a stand-alone gold producer.

Sibanye, a spin-off of two South African gold mines from world No. 4 bullion producer Gold Fields, was listed separately on Monday.

Resource analysts said Sibanye is seen as a dividend payer since the mines are mature and have no massive capital needs, so money can be returned to shareholders.

The company aims to return 25-35 percent of normalised earnings as dividends.

Shares are 6.19 percent higher at 14.40 rand.

The stock opened at 13.05 rand on its debut. - Reuters

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