Jubilee Platinum acquires Braemore Resources

Jubilee Platinum Plc has acquired the entire issued and to be issued share capital of Braemore Resources Plc, an evaluator of the reclamation and processing of sulphide nickel tailings. Both the companies are based in the UK.

Jubilee Platinum is a platinum metal mining exploration and development company.

Announcement (July 3, 2009):

Jubilee intends to make an offer to acquire the entire issued and to be issued share capital of Braemore.

As part of the transaction, Jubilee will issue one new Jubilee share for every 15.81 shares of Braemore held by Braemore shareholders, thereby resulting in Braemore shareholders effectively holding a 30% pre-capital raising interest in the enlarged entity. Following the transaction, Braemore will become a wholly-owned subsidiary of Jubilee and will be delisted from AIM and the Johannesburg Stock Exchange.

Jubilee has received approvals from certain directors of Braemore, holding approximately 50% of the issued share capital of Braemore, to vote in favor of the transaction.

Finncap and Qinisele Resources (Pty) Limited are acting as financial advisors to Jubilee Platinum and Braemore Resources, respectively. Fasken Martineau and Eversheds are acting as legal advisors to Jubilee Platinum in the UK and South Africa, respectively. WH Ireland Limited is acting as nominated advisor to Braemore Resources on the transaction. Watson, Farley & Williams LLP and Eversheds are acting as legal advisors to Braemore Resources in the UK and South Africa, respectively. Sasfin Capital is acting as sponsor to both Jubilee Platinum and Braemore Resources. Walbrook PR and Russell and Associates are acting as PR advisors to Braemore Resources in the UK and South Africa, respectively. Mirabaud Securities is acting as joint broker to Braemore Resources, while Bishopsgate Communications, Ltd. is acting as PR advisor to Jubilee Platinum on the transaction.

The transaction is expected to close on or about December 31, 2009.

Deal Value (US$ Million) 55.15
Deal Type                Acquisition
Sub-Category             100% Acquisition
Deal Status              Completed: 2009-10-30

Deal Participants

Target (Company)   Braemore Resources Plc
Acquirer (Company) Jubilee Platinum Plc

Deal Rationale

The acquisition would create an enlarged Anglo-South African mining group. The merger of the two companies would provide the Tjate Project with add-on smelting and refining capability. The enlarged entity would combine access to Jubilee's development assets in the Bushveld Igneous Complex of South Africa with Braemore's exclusive rights to the proprietary ConRoast technology for the smelting and intermediate hydrometallurgical refining of PGMs and base metals.

Related terms: acquisition, advisor, communications, exploration, ireland, legal, metals, mining, nickel, platinum, securities, south africa, technology