‘Mr Fixit’ works his magic at Sibanye
• CEO’s ability to think outside the box has benefited all stakeholders
It’s difficult not to acknowledge Neal Froneman individually given the knack he has had to complete eye-catching deals over the past three years that have transformed Sibanye-Stillwater,
For the past three years the Sibanye-Stillwater CEO has been in the spotlight. His ability to think outside the box when putting deals together has benefited all stakeholders in an embattled mining industry. Described as many things by the industry, he is without question technically solid and has a nose for a deal. His reputation as “Mr Fixit” precedes him.
In December 2016, he unveiled a R30.1bn outlay for another company, astonishing investors and analysts alike in a bid for US palladium and platinum Stillwater Mining. The deal was roughly the size of Sibanye’s market capitalisation at the time. The deal won DealMakers’ 2016 Deal of the Year. In May 2017, Sibanye undertook a R13.5bn rights issue, the third largest ever in SA and largest ever acquisition capital raise locally, proceeds of which were used to take out the equity bridge put in place for the Stillwater acquisition. This was followed by a dualtranche $1.05bn bond offering and a $450m convertible bond also applied to refinance a portion of the bridging facilities.
CONTINUED ODYSSEY
Contrary to what many believed would be a time of consolidation for SibanyeStillwater, its unstinting deal odyssey continued. Froneman announced, in November 2017, a R1.3bn deal with DRDGold in which Sibanye swapped some of its tailing assets for a 38% stake in DRDGold. In December he announced an all-share offer for Lonmin valued at R5.2bn.
His career in technical operations management and corporate development positions spans more than 30 years during which time he worked at Gold Fields, Harmony Gold Mining and JCI. In 2003 he was appointed CEO of Aflease Gold which, through a series of takeovers, became Gold One International in 2009.
He was primarily responsible for the creation of Uranium One from Aflease’s uranium assets. He was CEO at Gold One until his appointment at Sibanye Gold in 2013.
Froneman is a graduate of the University of the Witwatersrand in Mechanical Engineering (Ind Opt) and has a BCompt from the University of South Africa. He was voted CEO of the Year at the Mines and Money London conference in 2015.