Gold One International has completed the acquisition of Rand Uranium for $250m. The company fulfilled all conditions of the acquisition from Rand Uranium shareholders Pamodzi Uranium, Pamodzi Cooke and Armgold/Harmony Joint Investment Company.
The deal was closed and declared unconditional last week, Gold One announced.
The firm paid $137.7m of the purchase price on the completion date in cash, while the remaining $112.3m will be paid either in cash, ordinary shares or a combination of both.The balance payment is expected to be paid within 90 days. If Gold One issues ordinary shares for all or part of the balance payment, then the number of shares to be issued will be determined by dividing the amount of the balance payment by the 30 days.
The acquisition offers Gold One control of mineral rights associated with Rand Uranium, which owns a large resource base on the West Rand of South Africa. In September 2011, Gold One took over daily management of Rand's Cooke underground operations and Randfontein surface operations. Gold One is planning to ramp up Cooke underground operations.
The acquisition of Rand Uranium's mineral interests builds on the success of Gold One's flagship Modder East mine located in Johannesburg.