Newly offered bid for First Uranium mine trumps most recent offer
Bidders for a mine under the purview of the First Uranium Corporation have trumped two offers, according to a published report.
The new bid represents the biggest one yet and it comes from the combined efforts of Victor Vekselberg, a Russian billionaire who oversees the Renova Group, and Waterpan Mining Consortium of South Africa. A director with Transalloys, an arm of the Renova Group, confirmed the bid was offered as did a Waterpan director.
But neither director elaborated with details regarding the offers for the Ezulwini gold and uranium mine in South Africa.
Earlier this month, First Uranium indicated Gold One International of Australia offered $70 million for the South African mine. First Uranium also indicated AngloGold Ashanti offered to purchase its Mine Waste Solutions unit for $335 million. But First Uranium noted its inability to pay the outstanding principal to cover the equivalent of roughly $151 million that was due at the end of June without capitalizing on sale proceeds.
In March, shareholders who control a 17 percent stake and keep an eye on key performance indicators said First Uranium was set to let go of the mining facilities for an amount of money that was not enough. Those shareholders are pushing First Uranium toward more serious consideration of the offer from Renova while also embarking on discussions and negotiations, the equities head of one investment firm that is a shareholder told Bloomberg.
The Moscow Times reports Vekselberg also is involved in discussions to purchase the Domodedovo airport but some experts doubt that since the asking price is too high.