ASX-listed Orion Minerals has obtained approvals from the JSE and the South African Reserve Bank for its application for a secondary listing.The Orion Minerals secondary listing will be on the main board of the JSE, in the “Gold Mining” sector, under the abbreviated name “ORIONMIN”, JSE share code “ORN” and ISIN “AU000000ORN1”.
Shares of Orion Minerals will commence trading on the JSE at 9:00 a.m. South African time (5:00 p.m. Melbourne time) on Monday 18 September 2017.
Orion Minerals' primary listing will remain on the ASX and the company will continue to be regulated by ASIC.
Non-South African shareholders will be able to freely transfer their shares between the exchanges for trading and all proceeds will be able to be freely remitted to source.
The JSE listing is consistent with Orion Minerals' strategy of engaging South African capital markets in the funding strategy of the Prieska zinc-copper project.
The ability to access South Africa’s large parastatal banks and funds, which are captive within South Africa due to
South African Exchange Control restrictions, is expected to significantly increase funding options for Orion Minerals.
The JSE listing has the additional benefits of:
- providing an accessible market in company shares for South African investors, thus increasing domestic ownership whilst aligning interests with foreign investors
- allowing the company to market itself and raise its profile in South Africa, thereby providing the company with better access to South African institutions and to capitalise on funds that are locked within South Africa’s borders due to South African Exchange Control restrictions
- providing opportunities for South African State Owned Entities to invest in the Prieska project
- focusing the attention of potential South African investors on the merits of investing in Orion Minerals, thereby helping to enlarge the potential investor pool for the company and over time improve the liquidity and marketability of company shares
- allowing the possibility of Orion Minerals using its JSE-listed shares to make project acquisitions through non-cash scrip settlements listed on the JSE that would otherwise be precluded due to South African exchange control restrictions; and
- Adding further momentum to the company’s base metal development strategy in South Africa
Feature image credit: Orion Minerals