Mining company raises funds
South African metals mining company Sibanye-Stillwater has raised debt finance to pay off previous commitments and fund its green operations.
Johannesburg-headquartered mining company Sibanye-Stillwater has raised USD 1.2 billion through a notes issue.
The money was raised in two tranches of USD 675 million and USD 525 million and will be used by the company to redeem a previous round of notes and to develop its ‘green metals strategy’ as well as for general corporate use.
Formerly a subsidiary of Gold Fields that was spun off in 2012, Sibanye-Stillwater has metals mining operations for platinum, gold and copper in Southern Africa and North America, and battery metal projects in Europe and the United States.
The company’s chief executive Neal Froneman said in a statement: “The strong interest and support of our new bond issuance is a further vote of confidence in the group’s prospects by the capital markets.”
He added that the issuance “allows a significant reduction in borrowing rate over extended debt maturities, while maintaining group leverage well below our targeted level”.
Sibanye-Stillwater was advised on the deal by New York capital markets partner Jeffrey Cohen from international law firm Linklaters, assisted by senior associate Igor Rogovoy, and associates Alexa Carrero and Sam Rodriguez, all three of whom are based in London.
Joint co-ordinators on the issuance were Citigroup Global Markets, Merrill Lynch International, JP Morgan Securities and Morgan Stanley & Co International.
Shearman & Sterling advised the co-ordinators and book-runners, with associates Silvia Montanya in London, Michael Buiteweg in Dallas and Anthony Roselle in New York.
Earlier this year Linklaters the Democratic Republic of Congo on a solar energy project, while the firm’s alliance partner in South Africa, Webber Wentzel, in Johannesburg.
In February, a South African subsidiary of Canadian mining company Ivanhoe Mines for a metals project, while nickel mining operation in Tanzania is under development by a company from the United Kingdom following .