[miningmx.com] – AQUARIUS Platinum said it had provided guarantees to financiers of its empowerment partners, the Savannah consortium, Malibongwe and Chuma following a decline in the company’s share price.
As a result of share price weakness – shares in Aquarius Platinum are nearly half their level of mid-January – there is a possibility the empowerment partners would have to release their shares to the banks to cover their risk.
Aquarius Platinum last provided guarantees in October when the company’s share price was similarly under pressure. The company provides the guarantees in order to preserve its empowerment shareholding that enables it to comply with the provisions of minerals legislation in South Africa.
“Following the recent decrease in the Aquarius share price, Aquarius has agreed to reinstate the limited guarantee and pledge provided to the BEE Partners’ financiers
for 10.2 million shares on identical terms and conditions,” it said in a statement.
