Chinese firm buys control of MC Mining for R1.6bn

A CHINESE firm listed in Hong Kong has bought control of South African thermal and metallurgical coal development firm MC Mining.The $90m (R1.6bn) deal was announced today by MC Mining and represents the latest changing of the guard after Goldway Capital Investments bought the company in April in an all-share deal worth about R800m (for roughly 80%).Kinetic Development Group will buy its take in MC Mining in two tranches, the first for roughly $12m and the balance about nine months later. Chairman Wenzhong Ju said the deal was part of his firm’s diversification strategy in steelmaking and thermal coal.MC Mining has bumbled along for years without ever managing to finance the Makhado project in the Limpopo province, a metallurgical and thermal coal prospect. According to Mathews Sinosi, chairman, today’s deal does just that.It also sets the groundwork for the continued development of MC Mining’s formerly mothballed coal plant Vele, renamed Vele Aluwani Colliery as well as other prospects in the Limpopo province’s Soutpansberg district.MC Mining currently relies on the Uitkomst colliery in KwaZulu-Natal for cash generation.This may be the last transaction for MC Mining before it disappears from public life having earlier this year delisted from London’s AIM market.Tumult was MC Mining’s signature move. It suffered management ousters no less than four times, the last being the contested takeover by Senosi’s consortium. The post Chinese firm buys control of MC Mining for R1.6bn appeared first on Miningmx.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.comWeiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com