| Fri 11 Nov 2011, 13:45 | | DRD - DRDGold Limited - Termination of business rescue proceedings in |
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DRD
DRDD
DRD - DRDGold Limited - Termination of business rescue proceedings in
respect of Blyvooruitzicht Gold Mining Company Limited ("Blyvoor") and
continuation of cautionary announcement
DRDGOLD LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1895/000926/06)
JSE share code: DRD
ISIN: ZAE000058723
Issuer code: DUSM
Nasdaq trading symbol: DROOY
("DRDGOLD" or "Company")
TERMINATION OF BUSINESS RESCUE PROCEEDINGS IN RESPECT OF BLYVOORUITZICHT
GOLD MINING COMPANY LIMITED ("BLYVOOR") AND CONTINUATION OF CAUTIONARY
ANNOUNCEMENT
DRDGOLD shareholders ("Shareholders") are referred to the announcement
published by the Company on 23 June 2011, wherein Shareholders were
advised that Blyvoor`s board of directors had resolved to place Blyvoor
under business rescue proceedings ("Business Rescue Proceedings") in
terms of Chapter 6 of the Companies Act, No. 71 of 2008 ("Act").
Shareholders are hereby further advised that the Business Rescue
Practitioner ("BRP"), appointed to oversee Blyvoor during the Business
Rescue Proceedings, has concluded that there are no longer reasonable
grounds to believe that Blyvoor is financially distressed as envisaged
in Chapter 6 of the Act. Accordingly, the BRP filed a notice of
termination of Business Rescue Proceedings with the Companies and
Intellectual Property Commission on 10 November 2011, thereby
immediately terminating the Business Rescue Proceedings ("Termination").
Furthermore, Shareholders are referred to the announcement published by
the Company on 8 November 2011 ("Announcement"), wherein Shareholders
were informed that DRDGOLD had, on a non-binding and in-principle basis,
accepted a non-binding expression of interest ("EOI") from Village Main
Reef Limited ("Village") to acquire all of DRDGOLD`s interests in
Blyvoor ("Blyvoor Transaction"). The EOI contained certain conditions
precedent in respect of the Blyvoor Transaction, which included, inter
alia, the requirement that the Business Rescue Proceedings be terminated
to the satisfaction of Village.
DRDGOLD today informed Village of the Termination and, although Village
still has to confirm whether the Termination satisfies the relevant
condition precedent to Blyvoor Transaction, the Termination represents
an important step towards the potential implementation of the Blyvoor
Transaction.
CONTINUATION OF CAUTIONARY ANNOUNCEMENT
Shareholders are referred to the further cautionary announcement
contained in the Announcement and are advised that the negotiations
referred to in the Announcement are on-going, the outcome of which may
have a material effect on the price of DRDGOLD`s securities.
Accordingly, Shareholders are advised to continue exercising caution
when dealing in DRDGOLD`s securities until a further announcement is
made.
Roodepoort
11 November 2011
Corporate Advisor and Sponsor: One Capital
Attorneys: Cliffe Dekker Hofmeyr Inc.
Date: 11/11/2011 13:45:52 Produced by the JSE SENS Department.
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