Now look­ing at Lon­min?

Finweek English Edition - - MARKETPLACE SIMON SAYS -

Sibanye has com­pleted its bond-rais­ing ex­er­cise, which is the fi­nal leg in the ac­qui­si­tion of Still­wa­ter Min­ing. The bond was twice over­sub­scribed with $1.05bn be­ing raised. Now that this is done we can turn our at­ten­tion to my idea about what Sibanye is going to do with the ex­tra almost half a bil­lion dol­lars that it has raised. I still think it may make an of­fer for Lon­min and with the share trad­ing just off all-time lows at slightly above 1 000c, the R3bn mar­ket cap is eas­ily cov­ered by the ex­tra money raised. Lon­min is in dire straits; yet the man­age­ment team at Sibanye not only seem­ingly en­joys the chal­lenge of gen­er­at­ing prof­its where other min­ers can’t but is also very good at it.

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