• Sibanye is consolidating its position in the lithium batteries segment amid the global green energy agenda
  • Sibanye currently owns 30.29% shareholding in Keliber 
  • Transaction entails a maximum possible cost of €446 million (excluding transfer tax) to Sibanye

JSE-listed precious metals mining company Sibanye-Stillwater, which jointly owns the Mimosa mine in Zimbabwe with Implats has announced its intentions to increase its shareholding in Finnish mining and battery chemical company, Keliber to 80%.

Currently, Sibanye holds 30.29% shareholding in Keliber which it acquired in February 2021 by way of a phased equity investment.

Keliber is a Finnish mining and battery chemical company which owns the Keliber project, an advanced lithium hydroxide project located in the Kaustinen region of Finland which intends to sustainably produce battery-grade lithium hydroxide utilising its ore.

In a release, the company said it intends to exercise its pre-emptive right to increase its shareholding in Keliber to 50% plus 1 share.

“Simultaneous with the Pre-emptive Offer, the Company will also make a voluntary cash offer to minority shareholders of Keliber, other than the Finnish Minerals Group, which could initially increase its shareholding in Keliber to over 80% (”the Voluntary Offer”),” Sibanye said.

Sibanye highlighted that after completion of the voluntary offer, a capital raise by Keliber will be executed and if required post the above-described transactions, an equalization mechanism may be implemented such that Sibanye-Stillwater achieves its targeted 80% shareholding in Keliber.

The transaction entails a maximum possible cost of €446 million (excluding transfer tax) to Sibanye of which a possible maximum of €250 million in equity will be contributed by Sibanye-Stillwater.

Commenting on the proposed transactions, Sibanye's chief executive officer, Neal Froneman said, “This is a further significant step in our strategy to build a unique global portfolio of green metals in a value accretive manner. We look forward to partnering with our Finnish stakeholders to build the Keliber project, which will be the first mining and metallurgical operation in Europe to deliver high-quality, low-cost lithium hydroxide with a low carbon footprint and will be ideally placed to deliver critical metals into the growing European battery industry.”

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