JOHANNESBURG, South Africa, July 2, 2013 /PRNewswire/ - The shareholders of Atlatsa Resources Corporation (JSE, TSX, NYSE:MKT: ATL) confirmed their support for the Company's revised restructure plan on Friday, 28 June 2013 by approving all resolutions proposed at the Company's special general meeting.
The key resolutions approved by shareholders were as follows:
- For the Company to dispose of 31.4 million attributable PGM* ounces, comprising the eastern section of the Ga-Phasha mineral property to Anglo American Platinum Corporation (Anglo Platinum) for ZAR1.7 billion ( US$171 million), with the western section of Ga-Phasha being consolidated into the broader Bokoni mine lease area, where open cast mining operations on the Merensky reef have commenced.
- To approve the issue of 125 million new Atlatsa common shares to Anglo Platinum for an aggregate cash subscription consideration of ZAR750 million ( US$76 million) or ZAR6 per share ( US$60 cps).
- For the Company to utilise the proceeds from the asset sale and new share subscription to reduce its historical debt by 75%. The Company will have access to a new debt draw-down facility from Anglo Platinum of up to a maximum aggregate amount of ZAR1.55 billion ( US$156 million) at a weighted average effective interest rate of 2% per annum through to 2020.
Chief Commercial Officer, Joel Kesler, said: "This is an important step forward for the Company which allows us to significantly reshape our balance sheet and place us on a sound financial footing to deliver into our operational strategy through to 2020 on a fully-financed basis.
* PGM consists of platinum, palladium, rhodium and gold."This, together with continuous operational improvements at Bokoni Platinum Mine, places us in an advantageous position to continue reducing unit operating costs and improve both mine and the Company's financial position and performance going forward."