Competition Tribunal approves Optimum Merger
[miningmx.com] - I-Net Bridge : Wed, 10 March 2010
The Competition Tribunal on Wednesday unconditionally approved the merger between Optimum Coal Holdings, Optimum Koornfontein Investments and Main Street 431.
Optimum/OKI intend to purchase from Siyanda Resources, Twin Cities and Dunrose, the full indirect interest of Siyanda Resources in Main Street 431.
Optimum/OKI will therefore move from joint control of Main Street 431 to sole control of Main Street 431.
The approval comes just a day after the Competition Commission said it had recommended the merger be approved without conditions.
Optimum Coal, South Africa’s sixth largest thermal coal miner, is believed to be looking at raising $300m to $500m through an initial public offering on the JSE in March.
According to reports, the company and its shareholders are offering about 30% of Optimal Coal’s enlarged share capital, which values the coal producer at about $1bn to $1.5bn.