Major Deals This Week: Angloplat, Mitsubishi, Global Iron and More

11 February 2010 (Last Updated February 11th, 2010 18:30)

Anglo Platinum (Angloplat) said it will raise R12.5bn ($1.6bn), the largest rights issue in South Africa to date, to reduce its net debt of R19.3bn ($2.5bn). Angloplat's parent company Anglo American will underwrite the rights issue, which will mitigate the pressure on the company's deb

Anglo Platinum (Angloplat) said it will raise R12.5bn ($1.6bn), the largest rights issue in South Africa to date, to reduce its net debt of R19.3bn ($2.5bn).

Angloplat's parent company Anglo American will underwrite the rights issue, which will mitigate the pressure on the company's debt-laden financial position and enable it to concentrate on increasing performance and shareholder value.

Anglo American's share of the proposed rights issue would be R10bn ($1.3bn).

Japan's Mitsubishi will acquire a 25% interest in Chilean metal producer CAP's mining subsidiary Compania Minera Pacifico (CMP) for $924m.

The acquisition will enable Mitsubishi to have access to the iron business and capitalise on tax breaks in Japan, while CAP would be able to raise funds for projects kept on hold due to the economic downturn.

As per the agreement, Mitsubishi has agreed to merge its stake in Compania Minera Huasco, a CAP joint venture, into CMP and then fund a $400m capital increase in CMP.

Exploration firm Global Iron has signed a share sale agreement to purchase a 100% stake of oil exploration company African Petroleum Corporation (APCL) in a reverse takeover deal worth A$500m ($438m) by issuing APCL shareholders 906,250,050 fully paid ordinary shares.

The agreement is subject to Global Iron concluding a placement of shares to raise a minimum of A$130m ($113.9m) of funds which should not exceed A$230m ($201m).

Once the necessary shareholder approval is obtained, Global Iron will change its name to APCL.

Silver Wheaton has agreed to acquire all silver and gold produced from Augusta Resource's Rosemont copper-molybdenum-silver project in Arizona for $230m in upfront cash payments.

China Precious Metal Resources said it may invest RMB1bn ($146.3m) to acquire Jinxing Mining in Henan Province in eastern central China and will pay 33% of the total consideration in cash.

The payment for the remaining 67% of the consideration will be in the form of shares, notes and bills.

Rye Patch Gold has signed a binding definitive agreement with Centerra Gold subsidiary Centerra Gold to acquire the latter's participating stake (currently 63.96%) in the Ren gold property in Nevada for $42m.