The Coal Trader

Coal News for Mining & Investing Professionals

MC Mining’s JSE share price spikes on receipt of bidder’s statement

The JSE share price of South Africa-focused coal miner MC Mining rose by 26% on the afternoon of February 2, following its confirmation that it had received a bidder’s statement from entities that, in December, made a nonbinding and indicative offer to acquire MC Mining.

The JSE-, ASX- and Aim-listed coal miner in December announced that it had received a proposed offer from a consortium of its biggest shareholders – Senosi Group Investment Holdings and Dendocept, which already hold 64.3% of MC Mining’s shares – to acquire all the shares it does not already own at a cash price of A$0.16 a share.

The independent board committee (IBC) established to consider the offer has reiterated to MC Mining shareholders to take no action in respect of the takeover offer and bidder’s statement until it has had an opportunity to fully consider the bidder’s statement.

MC Mining says it will respond with a target statement that will include an independent expert report and the IBC’s recommendation in relation to the takeover offer. The company’s share price on the JSE rose to R1.89 a share on February 2, from R1.50 a share at close on February 1.