https://www.engineeringnews.co.za

DRDGold amends BEE deal with Khumo

16th March 2017

By: Megan van Wyngaardt

Creamer Media Contributing Editor Online

     

Font size: - +

JOHANNESBURG (miningweekly.com) – JSE-listed DRDGold will amend its black economic empowerment (BEE) deal with shareholder Khumo Gold to ensure that the latter does not breach the original agreement’s lock-in period.

Khumo, which is seeking shareholder approval to enter into hedging arrangements to secure the value of the DRDGold shares, is restricted from disposing of or encumbering the shares until April 10, 2018.

However, to enable the company to enter into the hedging arrangement, Khumo is required to enter into a securities lending arrangement with a financial institution, which would result in a technical breach of the lock-in.

“It was always our intention that Khumo would, during the lock-in period be capable of concluding such an arrangement, provided that it does not encroach upon the BEE status of our existing mining and prospecting rights,” DRDGold said in a statement.

After the hedging arrangement has been concluded, Khumo will continue to hold a direct interest in and have voting rights attributable to 22-million DRDGold shares; however, its beneficial interest will continue to extend to all 35-million of its original DRDGold shares until the expiry of the lock-in period.

The Department of Mineral Resources has approved the amendment.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Alco-Safe
Alco-Safe

Developed to exceed the latest EN 15964 standards for police breathalysers proving that it will remain accurate and reliable for many years to come.

VISIT SHOWROOM 
Egoli Gas (Pty) Ltd
Egoli Gas (Pty) Ltd

As a reticulator, Egoli Gas provides natural gas to homes and businesses via underground pipes.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.054 1.001s - 140pq - 2rq
Subscribe Now