REG - Ironveld PLC - Completion of Acquisition

IronveldAnnouncement

31/08/2022 07:01

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RNS Number : 6579X  Ironveld PLC  31 August 2022

Ironveld Plc

("Ironveld" or the "Company")

Completion of Acquisition

Ironveld (AIM: IRON) is pleased to announce that it has signed the Share
Purchase Agreement ("SPA") to acquire 100 per cent of the share capital of
Ferrochrome Furnaces (Pty) Limited ("FCF") which will provide Ironveld with an
existing smelting facility and the opportunity to commence mining and
processing in the short term.

Acquisition of FCF

Ironveld, through its subsidiary company Ironveld Smelting Proprietary Limited
("Ironveld Smelting"), has entered into an agreement with the shareholders and
the Business Rescue Practitioner of FCF to acquire the entire share capital of
FCF for a nominal fee of ZAR 980 (approximately £50).

Ironveld intends to change the name of FCF to Bokone Smelting Pty Limited in
due course to reflect the regional heritage of its operations, given that
'Bokone' translates as 'North' in the Tswana and Sepedi languages.

The only condition precedent in the SPA is the signing of a Debt Purchase
Agreement between Ironveld Smelting and the sole creditor of FCF for a total
of ZAR 115 million (approximately £5.75 million) and this condition precedent
is expected to be completed in the next two to four weeks.

Operational Update

The industrial cleaning work has now been successfully completed at the
smelter and the initial works programme as outlined in the announcement dated
11 August 2022 continues as planned.

For further information, please contact:

 

 Ironveld plc                            c/o BlytheRay

 Martin Eales, Chief Executive Officer   020 7138 3204

 finnCap (Nomad and Broker)              020 7220 0500

 Christopher Raggett

 Charlie Beeson

 Turner Pope (Joint Broker)              020 3657 0050

 Andy Thacker

 James Pope

 BlytheRay                               020 7138 3204

 Megan Ray

 Tim Blythe

 

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