Disposal of Shareholding

RNS Number : 4056B

Obtala Resources Limited

03 April 2013

 



3 April 2013

Obtala Resources Limited

("Obtala" or the "Company")

(AIM: OBT)

Disposal of Shareholding

Obtala Resources Limited (AIM:OBT), the natural resource investment and development company, announces that it has entered into an agreement for part of its shareholding in Bushveld Minerals Limited ("Bushveld") (the "Agreement").

The Agreement is for Endulwini Mining Corporation (Pty) Limited, a private unrelated entity ("the Purchaser"), to acquire 100,000,000 Ordinary Shares in Bushveld from the Company at a share price of 13p for a total cash consideration of GBP 13,000,000.

Completion is expected within 45 days and is conditional upon shareholder approval by the Company's shareholders and the Purchaser receiving exchange control approval and final approval from its funding partner.

Bushveld generated an operating loss of GBP 1.55 million for the 6 months ended 31 August 2012.

On completion of this transaction, the Company will retain 30,524,000 ordinary shares, representing 10.75% of the issued share capital of Bushveld. The proceeds will be escrowed with part of the funds used to grow and develop the agriculture projects in East Africa which is the main strategy of Obtala.

Obtala Resources Francesco Scolaro - Chairman Simon Rollason - Managing Director www.obtalaresources.com	[phone]
Macquarie Capital (Europe) Limited (Nomad and Broker)
Nicholas Harland	[phone]

 

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