logo-loader
viewTheta Gold Mines Ltd

Stonewall Resources moves closer to completion of subsidiary sale for US$124M

au_southern_africa__350_x_260_53420357eef57.jpg

Stonewall Resources (ASX: SWJ) should trade higher after it received Ministerial Consent from the South African Government to transfer shares it holds in Stonewall Mining to Shandong Qixing Iron Tower Co.

SWJ and minority shareholders are to receive US$141.55 million all cash consideration on successful completion, with Stonewall’s share being US$124.39 million.

This represents around $0.27 per Stonewall share on a fully diluted basis; Stonewall shares last traded at $0.20.

Proceeds are intended to be distributed to Stonewall shareholders after adjustments for repayment of debt, tax, costs and an amount sufficient to maintain Stonewall while it pursues other business opportunities.

The receipt of Ministerial Consent satisfies a key condition precedent of the Share Sale Agreement with Shandong, leaving  Chinese regulatory approvals as the final hurdle.

SWJ is a gold mining company that holds a range of prospective gold assets in South African gold mining regions.

SWJ's three key projects are the TGME Project, the Bosveld Project, and the Lucky Draw Project, located in Australia, near the township of Burraga in New South Wales.

Beyond its current strategies, SWJ has access to nearly 40 historical mines and prospect areas that can be accessed and explored.

Shandong Qixing Iron Tower Co is part of the Qixing Group Company, a privately owned large-scale diversified industrial company with revenue exceeding US$2.3 billion in 2012.

SWJ is currently capitalised at $97 million.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

Quick facts: Theta Gold Mines Ltd

Price: 0.19 AUD

ASX:TGM
Market: ASX
Market Cap: $83.03 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Theta Gold Mines Ltd named herein, including the promotion by the Company of Theta Gold Mines Ltd in any Content on the Site, the Company...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Theta Gold Mines successfully enters subscription agreements for $8 million

Theta Gold Mines Ltd (ASX:TGM) chairman Bill Guy updates Proactive Investors on the release of a positive feasibility study for the Theta project to support further exploration on the large historical goldfield in South Africa The company also has completed a capital raising with subscription...

on 12/8/19

2 min read