Impala Platinum, SA trade minister conclude framework agreement for Royal Bafokeng Platinum acquisition

Impala Platinum (Implats) has concluded a framework agreement with South Africa trade, industry and competition minister Ebrahim Patel regarding the proposed acquisition of all outstanding shares in Royal Bafokeng Platinum (RBPlat) that it does not already hold.
The terms of the agreement, which are subject to Implats obtaining a 50%+1 shareholding in RBPlat, relate to issues such as employment, support for small, medium-sized and microenterprises and localisation in terms of the country’s Competition Act.
“This is in addition to the Competition Commission’s recommendation which found that it would be unlikely that the proposed transaction would give rise to any substantial lessening or prevention of competition in any of the relevant markets and would be likely to result in public interest benefits,” said Implats in a note to shareholders.
The successful conclusion of the agreement follows a Memorandum of Understanding signed with the National Union of Mineworkers, RBPlat’s majority union and support from the host communities.
The proposed transaction remains subject to Competition Tribunal approval, which is the last remaining substantive condition to the offer. 
Northam Platinum is said to be the only party objecting to the proposed transaction before the tribunal.

Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished