Johannesburg, South Africa — MININGREVIEW.COM — 20 April 2010 – South African-based and JSE-listed Metorex “’ a mid-tier mining group well-known as a base metals operator in Zambia and the Democratic Republic of Congo (DRC) “’ has announced that it has raised R900-million through a claw-back offer which was oversubscribed.
Some 250-million new Metorex ordinary shares were offered to shareholders at a price of R3.60 a share.
In a statement issued here, the company said that 822. 96 million shares had been subscribed for, or 329%, amounting to a total subscription of 329%. The proceeds of US$120 million (R900 million) had been received by the company. Excess shares had been allocated equitably to the initial subscribers and excess applicants in accordance with the number of excess shares applied for.
Metorex CEO Terence Goodlace said that the company was satisfied with the amount that had been raised and added that it indicated strong shareholder support for Metorex’s strategy. He went on to say that the company had re-capitalised its balance sheet through the partial claw-back offering and its Pan African and Vergenoeg disposals.
“Together with the recently announced implementation of the revised Ruashi debt package, this places Metorex in a robust position to focus on its base metals growth strategy, which includes production ramp-up at Ruashi and new project developments on the Central African Copperbelt,” Goodlace concluded.