Mining Forum to file in High Court against Lonmin takeover

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THE Mining Forum, an organisation aimed at protecting the rights of a North West province community, the Bapo Ba Mogale, is to file another motion in South Africa’s High Court on May 18 in an attempt to block the proposed takeover of Lonmin by Sibanye-Stillwater, said Business Report in an article.

The forum said it had also engaged the Competition Commission as part of its strategy to scupper the transaction, first unveiled in December. “We are going to make sure the deal does not go ahead,” said Blessings Ramoba, the forum’s president.

Ben Magara, CEO of Lonmin, said earlier this week that a speedy approval of the transaction, which requires a thumbs up from competition authorities in South Africa and the UK, as well as shareholders in Lonmin and Sibanye-Stillwater, could save at least some of the 12,600 jobs currently set to go at Lonmin over the next three years.

Were the transaction to fail, it could result in Lonmin entering into business rescue proceedings which would result in catastrophic job losses of some 30,000 people employed at the company.

3 COMMENTS

  1. Are these not the same guys that tried to extort Lonmin previously?

    Self proclaimed leaders, who are there to take a slice of the pie for themselves?

  2. “Ben Magara, CEO of Lonmin, said earlier this week that a speedy approval of the transaction, which requires a thumbs up from competition authorities in South Africa and the UK, as well as shareholders in Lonmin and Sibanye-Stillwater, could save at least some of the 12,600 jobs currently set to go at Lonmin over the next three years.”
    https://www.miningmx.com/news/platinum/31207-neal-froneman-plays-hardball-dmr-lonmin-takeover/
    One major potential source of further discord with communities and the DMR is that Lonmin intends retrenching 12,600 employees over the next three years – about one third of its current 32,500 strong workforce – as it shuts down “generation one” shafts which are reaching the end of the reserves.

    Both Froneman and Magara stressed that these retrenchments would have taken place irrespective of the proposed takeover but Froneman added a further 890 people could be affected in terms of the revised business plan that Sibanye-Stillwater intends bringing in.

  3. S.A. Africa needs to work hard in this highly critical skill sector of the economy. And that is by producing engineers that will move into participatory mining by producing other products with this metal rather than exporting it. Secondly and deal with this monopoly by four major mining companies that continue to carry on with unfair labour practice and continue to control mineral resources of this country.

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