Cape Town, South Africa — MININGREVIEW.COM — 28 October 2011 – Trans Hex “’ a leading player in the exploration, mining and marketing of land and marine diamonds “’ says it has received unconditional written approval from the competition authorities, as well as shareholder and board approval, to proceed with the acquisition of Namaqualand Mines from De Beers Consolidated Mines (DBCM).
“Shareholders are advised that Trans Hex is still finalising certain aspects of the proposed transaction and that they should accordingly continue to exercise caution when dealing in the company`s securities until full details have been announced,” the company said here in a cautionary announcement.
Namaqualand Mines is located on the West Coast of South Africa, close to Trans Hex’s Baken mine.
Trans Hex called off the first round of negotiations with De Beers over Namaqualand in March 2009, citing “current uncertain global economic and industry conditions.”
In terms of the current deal, Trans Hex has agreed to buy Namaqualand for R225 million through an associate company, EPI, in which it has a 50% stake.
The other partners in EPI are RECM and Calibre (34%) and Dinoka Investment Holdings (11%). The remaining 5% is to be allocated to “broad-based historically disadvantaged groups of persons.”
Trans Hex CEO Llewellyn Delport said the company had brought in partners for the acquisition because the group could not afford to do the deal on its own.
“We were not prepared to jeopardise the main business through an acquisition,” he explained.