| Fri 30 Apr 2010, 15:48 | | PAN - Pan African - Conditional acquisition and renewal of cautionary |
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PAN
PAN
PAN - Pan African - Conditional acquisition and renewal of cautionary
announcement
Pan African Resources plc
(Incorporated and registered in England and Wales under Companies Act 1985 with
registered number 3937466 on 25 February 2000)
Share code on AIM: PAF
Share code on JSE: PAN
ISIN: GB0004300496
(`Pan African` or the `company`)
DATE EXTENDED FOR PAN AFRICAN TO COMPLETE DUE DILIGENCE INVESTIGATIONS IN
RESPECT OF ITS CONDITIONAL ACQUISITION OF A 25% STAKE IN THE RK1 CONSORTIUM, AND
RENEWAL OF CAUTIONARY ANNOUNCEMENT
Shareholders are referred to the announcement released on Wednesday, 31 March
2010 in which Pan African advised that it had signed a conditional Sale and
Purchase Agreement to acquire a 25% interest in the RK1 Consortium (`RK1`) (the
`Transaction`). RK1 owns a Chromite Tailings Retreatment Plant (`CTRP`) situated
at Kroondal on the Western Limb of the Bushveld Complex in the North West
Province of South Africa, which produces Platinum Group Metals (`PGM`)
concentrate. The Transaction, if completed, is expected to provide Pan African
with access to low cost attributable PGM ounces and further strengthen the
Company`s earnings and operating cash flows.
The Transaction is subject to, inter alia, the successful completion of a
technical and financial due diligence investigation (`Due Diligence`) by Pan
African, which was anticipated to have been completed by the Company by the end
of April 2010. Shareholders are advised that the parties to the Sale and
Purchase Agreement have agreed to extend the period for the completion of the
Due Diligence to Monday, 17 May 2010.
RENEWAL OF CAUTIONARY ANNOUNCEMENT
Shareholders are referred to the cautionary announcement released on Wednesday,
31 March 2010, and are advised that the pro forma financial effects of the
Transaction are still being determined and may have a material effect on the
price of the securities of the Company. Accordingly, shareholders are advised to
continue exercising caution when dealing in the securities of the Company until
the pro forma financial effects of the Transaction have been announced on the
JSE Limited Securities Exchange News Service and the London Stock Exchange
Regulatory News Service.
Rosebank
30 April 2010
JSE Sponsor
MACQUARIE FIRST SOUTH ADVISERS (PTY) LIMITED
ENQUIRIES
Pan African Resources
Jan Nelson (CEO) +27 (0) 11 243 2900
Nicole Spruijt (Public Relations) +27 (0) 11 243 2900
RBC Capital Markets
Martin Eales /Brett Jacobs +44 (0) 20 7029 7881
Macquarie First South Advisers
Melanie de Nysschen /Thembeka Mgoduso +27 (0) 11 583 2000
St James`s Corporate Services Limited
Phil Dexter +44 (0) 20 7499 3916
Nedbank Capital (Transaction Advisers)
Jan Geenen +27 (0) 11 294 1586
Date: 30/04/2010 15:48:01 Produced by the JSE SENS Department.
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