View all newsletters
Receive our newsletter – data, insights and analysis delivered to you
  1. News
February 1, 2022

MC Mining intends to raise funding from South African investor

The firm plans to use the second tranche funding to advance the Makhado project in South Africa, among others.

Australia-based coal mining company MC Mining intends to sign a convertible advance and subscription agreement with Senosi Group Investment Holdings Proprietary to raise $5.6m.

Free Report
img

What’s missing from your IPO industry assessment?

IPO activity all but stopped in 2020, as the investment community grew wary of the effects of COVID-19 on economies. No matter how deserving a business was of flotation, momentum was halted by concerns of when a ‘new normal’ of working patterns and trade would set in. Recently, sentiment has changed. Flotations picked up again during the second half of 2021, and now in 2022 the mood is decidedly optimistic. Business leaders have their eyes on fast rebounding economies, buoyant market indices and the opportunity once again to take their businesses public. As a result, global IPOs are expected to hit back this year. With GlobalData’s new whitepaper, ‘IPOs in Consumer and Retail: 5 must-include elements for your prospectus industry report’, you can explore exactly what is needed in the essential literature. GlobalData’s focus lies in the critical areas to get right:
  • Macroeconomic and demographic environment
  • Consumer context
  • Industry environment
  • Competitive environment
  • Route to market
Interested to learn more about what to include in your IPO Industry Assessment report? Download our free whitepaper.
by GlobalData
Enter your details here to receive your free Report.

Under the contract, South Africa-based Senosi will initially subscribe for 38.3 million shares in MC Mining to raise $2.96m (R46m). This will result in Senosi holding a 19.9% interest in MC Mining.

The first tranche placement, however, will be conditional on some regulatory approvals.

Furthermore, Senosi conditionally agreed to subscribe for a second tranche of more than 33.3 million shares in MC Mining to raise a further $2.57m (R40m). This would result in the shareholding of a 31.71% interest in MC Mining.

The shares issuance to Senosi is subject to approval from the Australian Securities Exchange and Johannesburg Stock Exchange, as well as the South African Reserve Bank.

The firm plans to use the first tranche funding to pay the vendors of the Lukin and Salaita properties and to supplement its working capital requirements.

The second tranche is planned to be used by the firm to advance the development of the Makhado hard coking coal project in Limpopo province, South Africa, and fund working capital requirements.

MC Mining chairman Bernard Pryor said: “We are very pleased Mr Senosi has agreed to invest in our company and to also join our board of directors.

“His successful track record of developing and operating coal mines in South Africa will be invaluable as we move closer to finalising the funding requirements to develop our flagship Makhado project.”

Related Companies

Free Report
img

What’s missing from your IPO industry assessment?

IPO activity all but stopped in 2020, as the investment community grew wary of the effects of COVID-19 on economies. No matter how deserving a business was of flotation, momentum was halted by concerns of when a ‘new normal’ of working patterns and trade would set in. Recently, sentiment has changed. Flotations picked up again during the second half of 2021, and now in 2022 the mood is decidedly optimistic. Business leaders have their eyes on fast rebounding economies, buoyant market indices and the opportunity once again to take their businesses public. As a result, global IPOs are expected to hit back this year. With GlobalData’s new whitepaper, ‘IPOs in Consumer and Retail: 5 must-include elements for your prospectus industry report’, you can explore exactly what is needed in the essential literature. GlobalData’s focus lies in the critical areas to get right:
  • Macroeconomic and demographic environment
  • Consumer context
  • Industry environment
  • Competitive environment
  • Route to market
Interested to learn more about what to include in your IPO Industry Assessment report? Download our free whitepaper.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The mining industry's most comprehensive news and information delivered every month. The mining industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU