Business
Revised Agreement with AltynGroup
Revised Agreement with AltynGroup.
About this update from Kazera Global Plc
[{"type":"text","content":"\n \nRNS Number : 6601E KazakhGold Group Ltd 11 April 2011 \n \n\n\n\n\n\nFor immediate release\n\n\n11 April 2011\n\n\n\n\nRevised Agreement with AltynGroup for the Sale of Subsidiaries and Related Matters\nThe Board of KazakhGold Group Limited (\"KazakhGold\") announces that it has entered into certain binding agreements for the sale of its operating subsidiaries and related matters with AltynGroup Kazakhstan LLP (\"AltynGroup\"), a limited liability partnership controlled by members of the Assaubayev family, and the conditional settlement of the existing proceedings brought by KazakhGold against members of the Assaubayev family and certain of their affiliates. The transaction is subject to a number of conditions, including approvals from the Government of the Republic of Kazakhstan and the entry into definitive agreements. \nBackground\nIn August 2009 OJSC Polyus Gold (\"Polyus Gold\"), an indirect parent of KazakhGold, completed the acquisition of 50.1 percent of the shares of KazakhGold (the \"Partial Offer\") and subsequently increased its interest to 65 percent in July 2010 (the \"Placing\"). KazakhGold is part of the Polyus Gold group of companies (the \"Polyus Gold group\").\nAs announced on 29 June 2010, proceedings were subsequently brought by KazakhGold, JSC MMC Kazakhaltyn (\"Kazakhaltyn\") and Jenington International Inc., a parent company of KazakhGold (\"Jenington\"), against members of the Assaubayev family and Gold Lion Holding Limited (\"Gold Lion\"), a company controlled by trustees of discretionary trusts, the beneficiaries of which comprise members of the Assaubayev family (the \"Claims\").\nIn August 2010 the Government of the Republic of Kazakhstan revoked certain previously issued approvals for transactions involving the shares of KazakhGold, which in turn resulted in the proposed reverse takeover of KazakhGold by the shareholders of Polyus Gold (the \"Proposed RTO\") being terminated on 26 October 2010. \nAs announced on 8 December 2010, KazakhGold and AltynGroup entered into a binding agreement (the \"Original Principal Agreement\") for the sale of KazakhGold's operating subsidiaries in Kazakhstan, Romania and Kyrgyzstan and the withdrawal of the Claims. The Original Principal Agreement was, as previously announced, terminated by KazakhGold on 14 March 2011.\nFollowing terminati...