Business
Restructuring of Zimbabwe minerals projects
Restructuring of Zimbabwe minerals projects.
About this update from Premier African Minerals Ltd.
[{"type":"text","content":"\n \nRNS Number : 6171G Premier African Minerals Limited 07 November 2018 \n\nPremier African Minerals Limited / Ticker: PREM / Index: AIM / Sector: Mining\nFor immediate release\n 7 November 2018\n \nPremier African Minerals Limited\nProposed restructuring of Zimbabwe minerals projects, conditional purchase of exploration and mining assets and proposed demerger and separate listing\n \nThe Board of Premier African Minerals Limited (\"Premier\" or the \"Company\") is pleased to announce a proposed restructuring of the Company's Zimbabwe minerals projects, together with the proposed purchase of assets owned by KME Holdings Limited (\"KME\"), comprising surface and underground mining equipment including exploration drilling rigs and associated equipment in Zimbabwe (\"Acquisition\"). Immediately on completion of the restructuring and Acquisition, the Company intends to demerge its Zimbabwe minerals projects (\"Demerger\") and seek a separate listing for these including the KME Assets on a London-based market (\"Listing\"). \nHighlights: \n \nUnder the proposed restructuring, Acquisition and Demerger:\n \n· Premier will first establish a new wholly-owned subsidiary, Newco, into which it will consolidate its entire interests in the RHA Tungsten Mine and processing plant, Tinde Fluorspar & Barite project, Katete Rare Earths project and the Zulu Lithium project (\"Restructuring\");\n \n· Premier has agreed binding conditional heads of terms to acquire the assets of KME (\"KME Assets\") for an initial consideration of US$4 million, to be satisfied by the issue to KME of new shares in Newco representing approximately 20% of Newco's then enlarged issued share capital;\n \n· Newco will on completion of the acquisition own Premier's Zimbabwe minerals projects and KME's surface and underground mining equipment together with exploration drilling rigs and equipment and KME's management team will join Newco;\n \n· Premier has agreed to seek a separate market listing for Newco and intends on listing to distributing its entire interest in Newco shares to Premier's shareholders through the most tax efficient means possible;\n \n· The Acquisition is conditional, inter alia, o...