South African firm Anglo American Platinum has met all required criteria regarding the sale of its interest in Union Mine and MASA Chrome Company to a subsidiary of Siyanda Resources.

In February last year, Anglo American Platinum subsidiary Rustenburg Platinum Mines entered a sale and purchase agreement (SPA) to sell 85% interest in Union Mine and a 50.1% interest in MASA Chrome.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

With all conditions having been met, Siyanda will take over ownership, control, and management of the sold resources from 1 February this year.

Union Mine and MASA Chrome are located in South Africa’s Limpopo and North West provinces.

Anglo American Platinum CEO Chris Griffith said: “In addition to the sales of Pandora and Rustenburg, with the completion of Union, Anglo American Platinum has executed a core part of its strategy of repositioning the portfolio.

“This transaction will allow us to focus on our most competitive assets, which are largely open-pit and mechanised operations.”

“This transaction will allow us to focus on our most competitive assets, which are largely open-pit and mechanised operations, which will result in higher margin production, a smaller and more highly skilled workforce, safer operations and a less complex organisation.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

“Our core operations will benefit from dedicated management attention, technical expertise, as well as enabling us to focus our capital allocation.”

Under the transaction, Anglo American Platinum will receive upfront disposal proceeds of R400m ($33.61m) in cash, which would be used to reduce net debt.

Furthermore, a deferred consideration based on 35% of cumulative positive distributable free cash-flow will be paid per annum as an earn-out for ten years.

Siyanda will also sell concentrate produced by Union Mine to Anglo American Platinum for seven years from the transaction’s effective date.