Waterberg coal company: bets on Eskom
Waterberg Coal Company, which aims to list on the JSE's AltX shortly, has the same CE and holds a stake in the same asset, the Waterberg coal project, as Firestone Energy. But it is not going to be either a pyramid holding company (which the JSE does not allow to list any longer) or a passive investor. Apart from its stake in the Waterberg coal project, it also holds three gold tenements in South Australia and 25% of Sekoko Coal, an unlisted joint venture with BEE group Sekoko Resources, which holds the rest.
As the biggest shareholder in Firestone, it also effectively controls Firestone. Waterberg Coal Company has made an off-market takeover offer to Firestone Energy shareholders to exchange 1,25 Waterberg Coal shares for every 20 post-consolidation Firestone shares.
The deadline for acceptances, which has been extended several times, is currently the end of this month. Waterberg Coal's planned listing on the JSE would allow Firestone shareholders in SA to swap their Firestone shares for Waterberg Coal shares.
A major Firestone shareholder, BBY Nominees in Australia, which holds 16,9% on behalf of clients, has rejected the offer but chairman Timothy Tebella has accepted it for his Firestone shares. Waterberg Coal and Firestone Energy CE Stephen Miller says his main focus is on advancing the coal project.
The planned mine has made slow progress in the past five years under Firestone's previous management.... Read the full, comprehensive news article and discuss at Financial MailSimilar Stories