SIBANYE-Stillwater’s proposed takeover of Lonmin would have the approval of one of its largest shareholders in the Public Investment Corporation (PIC), an organisation which manages pensions for the South African government.
The PIC, which owns 11.2% of Sibanye-Stillwater and – perhaps more importantly – 29.2% of Lonmin, said in a statement reported by Reuters: “The Public Investment Corporation has expressed support for the deal right from the outset. We believe that it will assist in driving consolidation in an ailing sector”.
In June, Britain’s Competition and Markets Authority (CMA) unconditionally cleared the transaction, saying it would not require a second phase investigation, said Reuters.
“We would be very pleased if the PIC is supportive, and hope that all shareholders will recognise the compelling rationale for the proposed acquisition,” Sibanye-Stillwater spokesman James Wellsted told Reuters. The company had not yet sought support from its shareholders, he added.
The deal would make Sibanye-Stillwater the world’s second largest platinum producer having purchased US-based palladium miner Stillwater, all of Aquarius Platinum and the Rustenburg operations of Anglo American Platinum, said Reuters.
