Lonmin Stock Up As SACC Recommends Acquisition By Sibanye-Stillwater

(RTTNews) - Mining company Lonmin Plc (LNMIF.PK, LMI.L) announced Tuesday that the South African Competition Commission or SACC has recommended that the South African Competition Tribunal approves the proposed acquisition of Lonmin by Sibanye-Stillwater (SBGL).

The approval would be subject to agreed conditions, which are agreeable to both Sibanye-Stillwater and the Commission. The Tribunal is the regulatory body which provides final approval for large mergers in South Africa..

It was in December last year that Lonmin and Sibanye-Stillwater agreed on the terms of a recommended all-share offer.

Despite the Commission noting a vertical and horizontal overlap of Sibanye-Stillwater and Lonmin's activities in the PGM industry, the Commission found that the proposed merger is unlikely to substantially prevent or lessen competition in any of the markets affected by the proposed merger, the company said.

Certain conditions pertaining to public interest concerns related to the merger, agreed to between the Commission and Sibanye-Stillwater, are consistent with Sibanye-Stillwater's approach to stakeholder engagement and its vision of "delivering superior value to all stakeholders".

Lonmin remain fully committed to the Offer. Further announcements will be made in due course.

In London, Lonmin shares were trading at 43.54 pence, up 3.67 percent.