HomeInternationalAquarius plans to raise US$251 million

Aquarius plans to raise US$251 million

Overview of Aquarius
Platinum’s Kroondal
London, England — MININGREVIEW.COM — 27 March 2009 – Aquarius Platinum Limited –  the world’s fourth largest platinum producer – says it plans to raise up to US$251 million (R2.5 billion) in a share placing, a rights issue and a convertible bond issue to pay off a bridge loan and to fund operating expenses.

A company statement released here said that due to the rights issue, it might also adjust the share exchange ratio for its planned all-share acquisition of Ridge Mining Plc.

Aquarius said on February 18 that it planned to buy Ridge Mining in an all-share offer of one of its shares for every 2.75 Ridge shares. This gave Ridge a value of US$92 million (R900 million)

The company added that it hoped to raise a minimum of US$80 million (almost R800 million) through a placing of up to 46.3 million shares, equal to about 14.2% of the existing share capital.

If this target was achieved the firm intended to announce the terms of a rights issue that, combined with the share placing, would raise about US$183 million (R1.8 billion).

The company, which has most of its operations in South Africa, also plans to raise up to R650 million via a convertible bond issue.

Of the total proceeds, it plans to use US$165 million (R1.6 billion) to pay off a bridge loan, it said.