Harmony seeking R1.3bn from shareholders in rights issue

JOHANNESBURG – South Africa’s Harmony Gold will be approaching shareholders to raise R1.3 billion through a rights issue, or lead a private share placement, in a bid to fund part of its recent R4bn acquisition of AngloGold Ashanti’s Moab Khotsong Mine, it said yesterday.

It also said the acquisition was funded through R1.3bn from internal cash resources and R1.3bn from existing bank facilities.

Earlier this year, Harmony’s financial director, Frank Abbott, said the company was expected to launch a rights offer by February next year for the deal.

“We will send out a circular at the beginning of December for a shareholder …read more