| Tue 9 Nov 2021, 15:29 | | MIDDLE EAST DIAMOND RESOURCES LIMITED - Acquisition of prospecting rights and cautionary announcement |
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Acquisition of prospecting rights and cautionary announcement
MIDDLE EAST DIAMOND RESOURCES LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 2001/006539/06)
(Share Code: MED ISIN Code: ZAE000211876)
(“MEDR” or “the company”)
Acquisition of prospecting rights and cautionary announcement
1. Introduction
Shareholders are advised that Sable Platinum Holdings (Pty) Ltd, a wholly owned subsidiary
of MEDR has entered into an agreement with Magni Investment Holdings (Pty) Ltd (“Magni”)
to acquire 49% of the issued share capital of both Swing Curve 345 (Pty) Ltd (“Swing Curve”)
and AEE Thabametsi (Pty) Ltd (“AEE Thabametsi”) with effect from 5 November 2021 for a
purchase price of R98 (“the Acquisition”). Swing Curve and AEE Thabametsi are wholly
owned subsidiaries of Magni.
Swing Curve owns the prospecting right for coal and dimension stone on Portions 1,2,3 and
4 of the Farm Leiden 340, Registration Division I.T. situated in the Magisterial District of Piet
Retief, Province of Mpumalanga, DMR reference: MP 30/2/1/1/2/13715 PR. AEE Thabametsi
owns the prospecting right for coal, silica and sand on the farms Kwagaaskop, Skoongesig
and Suikehout, situated in the Magisterial District of Nkangala, Province of Mpumalanga, DMR
reference: MP 30/5/1/1/2/13765 PR.
2. Rationale
MEDR has entered into this transaction in order to prospect primarily for coal on these project
areas.
3. Salient terms of the Acquisition
MEDR will issue 98 ordinary shares in MEDR at R1 per share to Magni to settle the purchase
price.
The Acquisition will be subject to normal warranties that are customary for transactions of this
nature. The Acquisition is not subject to any conditions precedent.
4. Categorisation of the Acquisition
MEDR is in discussions with the JSE regarding the category of the Acquisition and according
shareholders are advised to exercising caution when dealing in the company’s shares until
the category is determined.
9 November 2021
Sandton
Sponsors
Exchange Sponsors
Date: 09-11-2021 03:29:00
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