News: Nyota Minerals shareholders approve sale of Tulu Kapi stake

Nyota Minerals (ASX:NYO, LON:NYO) shareholders have rubber-stamped the sale of the company’s 25% stake in the Tulu Kapi project in Ethiopia to KEFI Minerals (LON:KEFI).

When the deal completes, KEFI will have 100% ownership of the project.

Nyota's shareholders also approved the in-specie distribution by Nyota to its shareholders of all KEFI shares held by it on completion of the acquisition.

Following the distribution of shares, KEFI will have new shareholders who, between them, will hold some 15% of KEFI's issued share capital. The new shareholders will include funds and institutions such as: Resource Capital Fund V; International Finance Corporation; and Centamin Holdings (LON:CEY).

The completion of the acquisition and the distribution will simplify the corporate and project structure of Tulu Kapi in preparation for project financing and development, which is expected to commence in 2015, KEFI said.