JOHANNESBURG (miningweekly.com) - The Competition Commission has recommended that the Competition Tribunal approve, with conditions, DRDGold's acquisition of certain assets from Sibanye-Stillwater.
The gold producers in November entered into a R1.3-billion deal that will entail DRDGold acquiring portions of Sibanye-Stillwater's West Rand tailings retreatment project assets in exchange for about 38% of DRDGold's ordinary share capital, while Sibanye-Stillwater would continue focusing on developing its platinum assets.
The deal also provides Sibanye-Stillwater with a call option to buy further DRDGold shares in future.
"Should Sibanye-Stillwater elect to exercise the call option to buy additional shares within the specified time period, Sibanye-Stillwater must inform the commission of its decision within 20 business days of exercising the call option. Sibanye-Stillwater will inform the commission of this election by submitting an affidavit," the commission stated.