Trans Hex Group (THG) has reached a negotiated solution with minority
shareholders of its 73%-held Canadian-listed subsidiary Trans Hex
International (THI) that will officially terminate THG's Toronto-based
presence.
THG's shares will be repurchased by THI for no consideration and cancelled.
The outstanding 3,909,519 common shares will become the entire share issue
of THI that will in turn be renamed Tsodilo Resources Limited (Tsodilo),
with the largest shareholder being Madaket Resources International Ltd.
Bernard van Rooyen, THG chairman, explains: "THI was established at a time
when an offshore listing made business sense for us. With changes in South
Africa's political and global standing it is no longer relevant and has been
a drain on our local resources. However, we have managed to keep interests
in a variety of properties that in time could offer significant
opportunities for the Group."
In return for the cancellation of debt owing to THG, the parent will hold
directly the following THI assets:
z 100% of Trans Hex Namibia - which in turn owns a 50% stake in Northbank
Diamonds and a 90% share in Hoanib Diamonds
z 100% of Trans Hex Brazil - which holds a 65,5% interest in the
discontinued joint venture project on the Barre Grande Peninsula
z 100% of Trans Hex Zimbabwe - which has a 15% interest in the Limpopo
joint venture property and
z 25% share in Newdico, the owner of the Ngami property in Botswana
Tsodilo will retain a 1% interest in future dividends arising from Trans Hex
Namibia, a 50% interest in any dividends from the kimberlite project of
Trans Hex Zimbabwe and the remaining 75% share in Newdico.
The transaction has received minority shareholder agreement but awaits final
regulatory approval from the Canadian Venture Exchange and South African
Reserve Bank.
"This is good news for THG shareholders because we have managed to
successfully dispose of the cash-draining overseas office. At the same time
it gives THI minorities that shared our early faith the opportunity to
participate in future successes," concludes van Rooyen.
Ends.
For further information : Bernard Van Rooyen
Tel : (011) 476-5031 / 082 659-1421
Issued by: Cullum Johnston
BHA Communications
Tel: (021) 683-2685 / 083 212-2455
Date: 12 April 2002
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