PPC disposes of PPC Lime operations

PPC has announced that PPC South Africa Holdings, a wholly-owned subsidiary of the Company (the Vendor), entered into transaction agreements with Kgatelopele Lime to dispose of the entire issued share capital of PPC Lime for a consideration of R515 million.

Kgatelopele Lime is a private company, incorporated in accordance with the laws of South Africa, formed for the purposes of the acquisition of PPC Lime. The shareholders of Kgatelopele Lime comprise:

IMR Resources South Africa Proprietary Limited (“IMR SA”) – IMR SA is part of the IMR Group, a privately held international minerals resources mining and trading company based in Switzerland involved in global trading, mining, marketing and financing of a wide variety of bulk commodities related to the iron and steel sector. Established in 2004, IMR has grown its global footprint, generating c.US$3 billion in annual revenue while also expanding downstream/upstream to own and manage a number of industrial and mining assets across several geographical locations;

Kolobe Nala Investment Lime Proprietary Limited (“KNI”) – KNI is a 100% black-owned, mining-focused investment holding company. KNI is indirectly owned by Mr. Billy Mawasha. Mr. Mawasha has extensive experience in the South African mining sector having held various executive positions at AngloGold Ashanti, Kumba Iron Ore and Rio Tinto.

HEX2M Energy Holdings Proprietary Limited (“HEX”) – HEX is a 100% black youth owned mining-focused investment holding company wholly owned by Mr. Sizwe Mngomezulu. Together with Mr. Mawasha, Mr. Mngomezulu owns and manages NPL Mining Solutions Proprietary Limited, a chemical and minerals trading and beneficiation business; and

JJJL Mining Proprietary Limited (“JJJL”) – JJJL is an entity that is 100% owned by Mr. Johannes Claassen, the previous Chief Executive Officer of PPC. Mr. Claassen has an in-depth understanding of PPC Lime and its operations.

Post conclusion of the Divestment, PPC Lime is expected to be 39% black-owned, being 29% owned by strategic Black Economic Empowerment (“BEE”) investors, 5% owned by relevant PPC Lime employees and 5% owned by host communities of PPC Lime, in accordance with the requirements of the 2018 Mining Charter.

PPC Lime is a wholly-owned subsidiary of PPC which mines, manufactures and distributes reactive lime, hard burnt lime, hydrated lime, burnt dolomitic lime and raw limestone. PPC Lime is a leading supplier of these products to key industries, including iron and steel, alloys, gold, uranium and copper mining, non-ferrous metals, sugar refining, water treatment and flue gas desulphurisation.

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