Goldplat Recovery South Africa - 100% BEE Transaction Update
Goldplat plc, the AIM listed gold producer in Africa, is pleased to announce that its South African gold recovery subsidiary, Goldplat Recovery (Pty) Limited ('GPL') has signed a binding Memorandum of Agreement ('MoA') with its Black Economic Empowerment ('BEE') partner Amabubesi Property Holdings (Pty) Ltd ('Amabubesi') to increase Amabubesi's interest in GPL from 15% to 26% as required by the South African BEE legislation to be in place before 1 May 2014.
The terms of the MoA will see Amabubesi acquire a final 11% interest in GPL for a total consideration of ZAR 29,503,483 (£2,107,392), with a 10% upfront cash payment on completion. The remaining 90% will be Vendor Financed by GPL with Amabubesi repaying the loan using its pro-rata dividends. This transaction values GPL at ZAR 268,213,481 (£19,158,105).
Goldplat's CEO Russell Lamming said, "We are delighted to have signed this binding MoA with our BEE partners, ensuring our market leading South African gold recovery operation is 100% BEE compliant well in advance of the 1 May 2014 deadline. Amabubesi have been very supportive shareholders since their initial acquisition in 2008 and we look forward to continuing this relationship into the future. Interestingly, the transaction, which values GPL at approximately £19 million, gives a current see-through value for the 85% of GPL we own of circa £16 million or a Goldplat share price of 10p. Taking into account the fact that GPL contributed less than 50% of the group net profit in the last financial year, this highlights the inherent value of Goldplat as a whole."
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For further information visit www.goldplat.com or contact:
|Russell Lamming, CEO||Goldplat plc||Tel: +44 (0) 781 0870 587|
|Ewan Leggat/Katy Birkin||SP Angel Corporate Finance LLP||Tel: +44 (0) 20 3463 2260|
|Felicity Edwards/ Charlotte Heap||St Brides Media & Finance Ltd||Tel: +44 (0)20 7236 1177|
Goldplat plc, is an AIM-listed profitable, debt free gold producer and mine development company focused in Africa, which has a strong cash position of GBP1.95 million as at 31 Dec 2012. The Company has a solid portfolio of assets including two gold recovery operations in South Africa and Ghana, which recover precious metal from by-products of the mining process such as woodchips, fine carbon and waste grease. For the FY 2012 these operations produced circa 31,354 ounces of gold. Goldplat also has a producing gold mine in Kenya and two brownfield gold development projects in Ghana and Burkina Faso.
Goldplat is a profitable, African gold recovery services company . . .More info...
Goldplat has two profitable gold recovery businesses in South Africa and Ghana . . .More info...
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