JOHANNESBURG - Mining company Sibanye-Stillwater said on Wednesday all the conditions had been fulfilled for it to exchange selected surface gold processing assets and tailings storage facilities (TSFs) for newly issued DRDGOLD shares.
"Sibanye-Stillwater now owns 38.05 percent of the issued share capital of DRDGOLD, currently worth R895.7 million," Sibanye said of the deal, first announced last November.
Sibanye-Stillwater has an option to subscribe for the option shares within 24 months from the date of implementation of the transaction to further attain up to a 50.1 percent shareholding in DRDGOLD at a 10 discount.
"We are excited about the partnership with DRDGOLD which unlocks value for our under-utilised surface infrastructure and TSFs, while retaining upside to the West Rand Tailings Retreatment Project and future growth in DRDGOLD," Sibanye-Stillwater CEO Neal Froneman said.
"Further value will be derived from the future development of this long life surface reclamation project, which will benefit all of our stakeholders, particularly those in the region.”