RAPAPORT… Trans Hex is considering a buyback program for minority shareholders ahead of its potential delisting from the Johannesburg Stock Exchange (JSE).
The South African miner stated an intention to repurchase its issued share capital for ZAR 1 ($0.07) per share in an announcement Friday. The offer is open to about 20% of shareholders, but excludes a consortium made up of Cream Magenta 140, Metcap 14 and RAC Investment Holdings, which hold 80% of the issued capital.
The move follows the June 28 publication of Trans Hex’s results for fiscal 2019, which warned of “material uncertainty” around its ability to fund its short-term liquidity requirements.
Trans Hex reported a loss of ZAR 9.3 million ($654,592) for its South African operations in the fiscal year ending March 31. The latest proposal will “save on the costs of operating in a regulated environment,” it said, adding that its board “believes that the listing provides little benefit to the company at this stage of its operating cycle.”
Image: Mining operations at Trans Hex. (Trans Hex)
Trans Hex Reveals Plan to Go Private
The Bottom Line
- Trans Hex intends to repurchase about 20% of its issued shares at ZAR 1 ($0.07) per share, excluding major shareholders holding 80%.
- The company reported a ZAR 9.3 million ($654,592) loss for its South African operations in fiscal 2019 and flagged liquidity concerns.
- Delisting aims to reduce costs associated with regulatory compliance, as the board sees limited benefits from remaining listed.
More Stories
Qatar Diamond Exchange to Collaborate with Italian Bourse
Parties signed MoU to extend connection among their members, broaden cooperation and advance commercial relationships.
China Signs Deal to Reinvigorate Interest in Natural Diamonds
Shanghai Diamond Exchange hosts signing of Beijing Declaration, with government representatives from Botswana, Namibia and South Africa.
AI, Gen Z Are Hot Topics at AGS Conclave
This year’s edition is last to take place in September, as event returns to spring in 2027.
