HVL
HVL
Highveld - Further Cautionary Announcement
Highveld Steel and Vanadium Corporation Limited
Registration no. 1960/001900/06
(Incorporated in the Republic of South Africa)
("Highveld")
Share code: HVL
ISIN code: ZAE000003422
FURTHER CAUTIONARY ANNOUNCEMENT
Shareholders are referred to the initial Cautionary Announcement published on 26
October 2005, as well as to subsequent Cautionary Announcements, relating to the
sale by Anglo American plc ("Anglo American") of its shareholding in Highveld.
The attention of shareholders is again drawn to the joint announcement issued by
Anglo American, Evraz Group S.A. ("Evraz") and Credit Suisse on 14 July 2006
announcing that agreement had been reached in relation to the sale by Anglo
American of its shares in Highveld; as well as to the Anglo American Interim
Results Announcement dated 4 August 2006.
Evraz and Credit Suisse have each acquired 24.9 per cent of Highveld"s share
capital from Anglo American for an aggregate consideration of $412 million.
These sales have closed.
Evraz has an option to increase its stake in Highveld once regulatory approvals
are received, including from competition authorities in South Africa and
elsewhere. Subject to Evraz receiving such regulatory approvals, Evraz will be
entitled to purchase Anglo American"s remaining 29.2 per cent shareholding for
$266 million. This amount will be reduced by any dividends paid by Highveld
prior to Anglo American selling its remaining shares. In terms of a separate
option agreement, Evraz has an option over the 24.9 per cent held by Credit
Suisse in Highveld. Should Evraz increase its interest beyond 35 per cent, it
will be obliged to make an offer to all shareholders of Highveld.
Shareholders are, therefore, advised to continue to exercise caution in their
dealings in Highveld shares and a further announcement will be made in due
course.
Witbank
8 December 2006
Sponsor: J.P.Morgan Equities Limited
Date: 08/12/2006 04:35:07 PM Produced by the JSE SENS Department
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