Botswana Minister Greenlights MMG’s Acquisition of Khoemacau Copper Mine
The Minister of Minerals and Energy in Botswana, Honorable Lefoko Moagi, has granted approval for the acquisition of Khoemacau by the Hong Kong-listed company MMG Limited.
In a recent development announced in late November, MMG and Khoemacau confirmed their agreement for MMG to acquire 100% ownership of Cuprous Capital, the holding company of Khoemacau Copper Mine.
MMG disclosed that the purchase agreement involves a substantial consideration of $1.89 billion (approximately P25 billion) for this acquisition.
However, the acquisition is contingent upon several approvals, including the crucial change in control of all project licenses associated with the targeted company, necessitated by the acquisition. These approvals were to be obtained from the Minister of Minerals & Energy, which could either be unconditional or subject to specific conditions.
On December 22, 2023, Khoemacau Copper Mining (Pty) Ltd, a Cuprous Capital subsidiary, received the Minister’s approval regarding the transfer of controlling interest in the Project and Prospecting Licenses linked to Khoemacau Copper Mine, facilitated by the acquisition.
The Minister’s approval holds significant weight in this acquisition process, as it is mandated by law to assess and authorize the transfer of Project Licenses linked with the asset or company under consideration for takeover.
Today, the MMG Board confirmed that the Ministry of Minerals and Energy Approval Condition was met on December 22, 2023, marking a crucial milestone in the acquisition process.
