Sharenet Sites 
Sharenet Sites
Market update and issue of equity
Jubilee Platinum PLC
Registration number (4459850)
JSE share code: JBL
AIM share code: JLP
ISIN: GB0031852162
("Jubilee" or the "Company")
Not for release, publication or distribution in whole or in part in,
into or from any jurisdiction where to do so would constitute a
violation of the relevant laws or regulations of such jurisdiction.
MARKET UPDATE AND ISSUE OF EQUITY
Jubilee, the JSE listed and AIM quoted Mine-to-Metals specialist, is
pleased to announce a further update on the proposed acquisition by
Jubilee of Platinum Australia Limited (“PLA”) (the "Transaction") as
well as the disposal of its non-core Ferro Alloy smelters to Global
Renewable Energy (“GRE”) (“Divestment”).
Market Update
PLA
- Jubilee has received an unconditional approval from the Competition
Commission of South Africa to proceed with the Transaction.
- The PLA shareholder meeting to approve the Transaction is scheduled
to be held on Wednesday, 31 July 2013.
GRE
- The sale of 65% of Jubilee’s holding in Jubilee Smelting and
Refining (Pty) Ltd (“JSR”) and 40% of Jubilee’s holding in PowerAlt
to GRE for a cash consideration of USD9.066 million is expected to be
completed by 31 July 2013.
- Jubilee has received a non-refundable deposit payment of USD200,000
from GRE, in cash in addition to a cash payment of USD33,495 covering
the interest on the Disposal consideration due as part of the
extended settlement of the sale agreement (“Extended Settlement”) as
announced on 19 June 2013.
- GRE has also settled creditors and addressed the Expansion Capital
required for the Smelter complex as required under the Extended
Settlement to the value of ZAR7.2 million (GBP0.48 million).
- The Expansion Capital for the Smelter complex is for the upgrade of
the smelter off-gas systems to commence with the production of
Ferrosilicon at the smelter complex.
- The above payments are additional to the total disposal
consideration value of USD14 million – which includes an option to
sell the remaining holdings in PowerAlt and JSR for USD4.933 million.
Leon Coetzer, CEO of Jubilee, said:
“This is clearly an exciting period for the Company with both
transactions progressing well within a currently challenging platinum
sector. We are continuing to progress with the reshaping of our
operations by refining our focus while also moving towards the
completion of the PLA acquisition – which will significantly enhance
our scale and capabilities.”
GRE is a newly formed investment holding company, whose shareholdings
includes significant stakes in Harrison & White Investments (Pty)
Limited (“H&W”), TBL, Moya Eco Power (Pty) Ltd, and will include
PowerAlt and JSR assuming the Transaction completes as expected. GRE
has a further indirect holding in PowerAlt due to the fact that H&W
also holds a 30% stake in the power company. Jubilee retains a 35%
interest in JSR and a 30% interest in PowerAlt after the Disposal and
has a put option in place to sell its remaining share capital in the
companies.
GRE is providing equity finance to help fund a USD15 billion cross
border wind turbine power generation project between South African
and Lesotho.
The Lesotho Highlands Power Project (LHPP) will generate 6,000
megawatts of wind power and 4,000 megawatts of pump storage -
equivalent to nearly one-tenth of South Africa's total current energy
supply.
The project includes the local manufacturing of components for the
wind turbines. JSR at the Middelburg Smelting complex has been
targeted by GRE for the smelting and manufacturing of the components.
Shareholders are referred to announcements dated 28 May, 3 June and
19 June 2013 in relation to the Sale of Shares agreement
(“Agreement”) with GRE, in terms of which GRE has agreed to acquire
the issued share capital of JSR, a wholly owned subsidiary of Jubilee
and the 70% of the issued share capital of Power Alt (Pty) Ltd
(“PowerAlt”) owned by Jubilee for an aggregate cash consideration of
USD14 million.
The Divestment may be executed over two tranches, namely a disposal
which includes the sale of 65% of the issued share capital of JSR and
40% of the issued share capital of PowerAlt for a cash consideration
of USD9.066 million and an option whereby Jubilee retains an
exclusive put option to sell the remaining share capital held by the
Company in JSR and PowerAlt for a cash consideration of USD4.933
million.
Issue of Equity
Jubilee is also issuing 1,192,191 ordinary shares of 1 pence each to
YA Global Master SPV, Ltd (“YA”) pursuant to a SEDA advance notice
dated 3 July 2013 for an amount of GBP70,163. It is expected that
these shares will be listed on the JSE and admitted to trading on AIM
on or about 16 July 2013.
The total issued share capital of the Company will be 356,335,215
following the issue of equity. The Company holds no ordinary shares
in treasury.
Contacts
Jubilee Platinum plc
Colin Bird
Tel +44 (0) 20 7584 2155
Leon Coetzer
Tel +27 (0)11 465 1913
Andrew Sarosi
Tel +44 (0) 1752 221937
JSE Sponsor
Sasfin Capital, a division of Sasfin Bank Limited
Angela Teeling-Smith/Sharon Owens
Tel +27 (0) 11 809 7500
NOMAD
finnCap Ltd
Matthew Robinson/Ben Thompson – corporate finance
Joanna Weaving – corporate broking
Tel +44 (0) 20 7220 0500
Shore Capital Stockbrokers Limited (Joint Broker)
Jerry Keen/Edward Mansfield
Tel: +44 (0) 20 7 408 4090
Bishopsgate Communications Ltd
Nick Rome/Anna Michniewicz
Tel +44 (0) 20 7562 3350
10 July 2013
Johannesburg
Sponsor
Sasfin Capital (a division of Sasfin Bank Limited)
Date: 10/07/2013 08:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
