In terms of the PPC Lime Disposal, PPC South Africa Holdings Proprietary Limited, a wholly-owned subsidiary of the Company, entered into transaction agreements with Kgatelopele Lime to dispose of the entire issued share capital of PPC Lime. The Divestment was subject to the fulfilment of, inter alia, the following conditions precedent by 31 December 2021:
- Approval of the Divestment by the relevant competition authorities in terms of the Competition Act, Act 89 of 1998;
- Consent of the Minister of Mineral Resources and Energy in terms of section 11 of the Minerals and Petroleum Resources Development Act, Act 28 of 2002;
- Written proof being obtained to the satisfaction of PPC and the Department of Mineral Resources and Energy that Kgatelopele has made financial provision in respect of the rehabilitation liability of PPC Lime; and
- Exemption being granted in terms of section 119(6) of the Companies Act, Act 71 of 2008 from the application of Parts B and C of Chapter 5 of the Companies Act and the Takeover Regulations with respect to the implementation of the Divestment.
In terms of the PPC AQB Disposal a binding sale and purchase agreement was entered into between PPC Botswana Proprietary Limited (a wholly-owned subsidiary of PPC) and a construction and mining company in Botswana, to sell PPC’s 100% shareholding in PPC AQB.
The board of directors of PPC has announced that the last of the Divestment Conditions was met on 17 September 2021 and the last of the conditions precedent relating to the sale of PPC AQB was met on 15 September 2021.
The net proceeds from the sale of PPC Lime and the proceeds from the sale of PPC AQB, both of which are subject to adjustment, will be applied to de-gear PPC’s South African balance sheet.