Legal agreements for Kumba's landmark empowerment transaction now completed
27 September, 2006
Diversified mining and metals group Kumba Resources Limited (Kumba) today announced that all legal agreements necessary to implement the empowerment transaction involving Kumba, Anglo American plc and Eyesizwe Mining (Proprietary) Limited have been completed.
The transaction, which was announced in October 2005, involves the unbundling of Kumba's iron ore assets and the separate listing of Kumba Iron Ore Limited, and the transfer of a controlling interest in Kumba (to be renamed Exxaro) to BEE Holdco, a black-owned and controlled vehicle, to form South Africa's flagship empowerment company.
The transaction is subject to the fulfilment of certain conditions that include the approval by Kumba shareholders of the transaction. The detailed circular setting out the final terms of the transaction and convening a general meeting of shareholders to approve the transaction will be dispatched to shareholders on or about 9 October 2006 and the general meeting of shareholders to approve the transaction is scheduled for 2 November 2006. It is envisaged that the transaction will be implemented in the fourth quarter of 2006.