Researcher100 Interesting date. 2004. The same year Genorah resisted according to the Gov web site (from memory).
Here's where it started as far as ASX announcements.
15 May 2006
Jack Griffin, Nkwe’s Chairman said: "We are pleased to have reached this agreement with Blue Nightingale. We believe that this transaction will ultimately create a substantial empowerment company that will initially develop PGM prospects on the Western and Eastern Limbs of the Bushveld Complex in South Africa.
Maredi Mpahlele, the Chairman of Blue Nightingale, said: “We are very excited to be involved with Nkwe and our objective is to create a significant HDSA mining house in South Africa. Our discussions with Nkwe which commenced last year have progressed successfully where we have agreed initially to acquire an interest in Nkwe SA. The immediate impact of this transaction will be the delivery of new order prospecting rights to Nkwe. Blue Nightingale is also finalising rights over additional PGM projects in South Africa which shall be vended into Nkwe. Ultimately we wish to add significant value to Nkwe by securing significant PGM properties to be merged with Nkwe’s existing PGM projects and move to a majority HDSA shareholding.”
Now I read this as it is Blue Nightingale that will bring the farms.
At this point NKP is BEE compliant.
The Board of Nkwe Platinum Limited (ASX:NKP) is pleased to announce that it has agreed a Black Economic Empowerment transaction with Blue Nightingale Trading 709 (Pty) Ltd (“Blue Nightingale”). The transaction involves the issue of new shares in Nkwe Platinum (South Africa) (Pty) Limited (“Nkwe SA”) to Blue Nightingale so that it will own 30% of the expanded issued capital of Nkwe SA. ---------
Then 4 months later they make there move.
15 Sept 2006
The Board of Nkwe Platinum Limited (ASX:NKP) is pleased to announce it has entered into a conditional agreement with Black Economic Empowerment (BEE) company, Genorah Resources (Pty) Ltd (“Genorah”), to acquire Genorah’s interest in the prospecting rights to two strategically located platinum group metal (“PGM”) farms on the Eastern limb of the Bushveld Complex.
The Transaction Nkwe has entered into a conditional agreement with Genorah whereby Nkwe Platinum (South Africa) (Pty) Ltd (“Nkwe SA”) will acquire Genorah’s interest in the prospecting rights on the farms Garatouw 282 KT and De Kom 252 KT. Under the terms of the agreement, Nkwe will:
1. pay to Genorah a signing fee of AUD $100,000 on grant of the prospecting rights on the two farms to Genorah;
2. issue to Genorah 63 million shares upon completion of the transaction; and
3. issue to Genorah a further 63 million shares upon Nkwe establishing a JORC (or similarly accredited reporting code) compliant resource of 20 million contained 5PGM ounces on the farms.
On completion of the transaction, Nkwe SA will increase from 70% to a 74% owned subsidiary of Nkwe with the remaining 26% held by Blue Nightingale and other BEE entities. Nkwe SA will own 100% of the platinum projects, including the De Wildt Project and the Genorah Project. NKwe will have first rights with regard to funding the 26% interest held by the BEE entities. The agreement is subject, inter alia, to completion by Nkwe of its due diligence investigations on the two farms, the approval of the transaction by the South African Department of Minerals and Energy, the approval of the transaction by Nkwe shareholders in accordance with its bye-laws and the ASX listing rules and certain other regulatory approvals in South Africa. The notice of meeting materials will include an independent experts report which will be despatched to Nkwe shareholders during the next 30 days.
Jack Griffin, Chairman of Nkwe said: “This transaction represents a significant milestone in the Company’s development and its goal of becoming a platinum producer in South Africa,”
Mr Griffin said. “We have been working with Mr Maredi Mphahlele and his team for [several months] and have been impressed with their vision and determination to create a major empowerment company in the Bushveld Complex of South Africa. I am confident this goal can be achieved in the short term to deliver significant value to Nkwe shareholders. We welcome Mr Mphahlele and his executive team to the Company and look forward to working together to build a mid tier platinum producer.” Maredi Mphahlele, the Managing Director of Genorah and incoming Managing Director of Nkwe, said: “Nkwe’s short term focus will be to complete Bankable Feasibility Studies (BFS) on the Company’s core projects which are De Kom, Garatouw and Nkwe’s De Wildt project. I believe that with the quality executive team in place, the Company will move into development and then production rapidly. To this end, Nkwe will be driven by a focused management team which will include experienced South African mining executives Dr Jackie van Schalwyk, Mr Andile Nkhulu and Mr Tony Weber. We look forward to finalizing this transaction and creating a substantial value-driven empowerment company.
Future Strategy
In May 2006, Nkwe announced a sell-down of a 30% interest in Nkwe SA its then wholly owned subsidiary. The strategic basis of that transaction was two-fold:
1. to achieve compliance with the equity ownership component of the Broad-Based SocioEconomic Empowerment Charter for the South African Mining Industry and position the company so that it will become..... (Wait for it)a majority BEE owned and controlled; and
2. to align the company with a BEE company with significant industry experience and the ability to introduce additional PGM assets to Nkwe as part of a broader strategic merger plan.
Effective immediately, to reflect the proposed equity change on completion of the transaction, Mr Jeff Mews and Mr Bill Crossley will resign as Directors and Mr Sharif Pandor and Mr Peter Landau will be appointed as Non-Executive Directors.. The new Board structure is:
Jack Griffin Chairman Maredi Mphahlele Managing Director Tony Weber Executive Director Mxoleli Nkuhlu Non Executive Director Sharif Pandor Non Executive Director Peter Landau Non Executive Director
The Board would like to thank Mr Mews and Mr Crossley for their efforts as founding Directors of the Company and wish them well in relation to their future endeavors. Further details concerning Mr Pandor and Mr Landau are set out below. The terms of Mr Mphahlele’s employment agreement will be released to the market when they have been finalized between the parties.
About Genorah Resources (Pty) Ltd
Genorah is a BEE company owned and controlled by Historically Disadvantaged South Africans. The directors of Genorah include Mr Maredi Mphahlele who was appointed as a Director of Nkwe, along with Mr. Mxoleli Nkuhlu in May 2006 as part of Nkwe’s BEE transaction with Blue Nightingale. Mr Sharif Pandor is also a Director of Blue Nightingale and chairman of Genorah (see below for further details). There are also common directors and owners of Genorah and Blue Nightingale. In accordance with the ASX listing rules, Nkwe will commission the completion of an independent expert’s report on the transaction. ---------- No share holder got a vote on this ( ASX waiver 13 Dec 2006) If I was holding at this time, I wouldn't be to happy about a BEE taking over my company.
And there you have it. One made to order BEE owned and controlled company.
NKP Price at posting:
13.5¢ Sentiment: None Disclosure: Not Held
