Sibanye-Stillwater launches off-market takeover offer for Australian base metal producer New Century
(Kitco News) - Sibanye-Stillwater (NYSE: SBSW), the largest shareholder in New Century Resources with an interest of 19.9%, yesterday announced that it has launched an off-market takeover offer for all of the shares in New Century that it does not already own, in accordance with Australian takeovers requirements.
According to a company press release, the offer price implies an equity value for New Century of US$103 million (A$149 million) on a fully diluted basis.
The company said that in the event that Sibanye-Stillwater acquires all of the securities in New Century that it does not already own, Sibanye-Stillwater will pay up to US$83 million (A$120 million) under the transaction.
"The proposed takeover is in line with our strategy to invest in the circular economy and be a global leader in tailings retreatment and recycling," the company added.
New Century is an Australian base metal producer with significant zinc assets and a brownfield copper development project. New Century is a top-15 global and top-five domestic zinc producer, operating Australia's largest hydraulic mine at the Century Mine in Queensland; extracting, processing and marketing zinc recovered from historical tailings.
Sibanye-Stillwater has established itself as one of the world's largest primary producers of platinum, palladium, and rhodium and is also a top tier gold producer. It produces and refines iridium and ruthenium, nickel, chrome, copper and cobalt.
The company has recently begun to build and diversify its asset portfolio into battery metals mining and processing and is increasing its presence in the circular economy by growing and diversifying its recycling and tailings reprocessing operations globally.
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