1
JOINT MARKET RELEASE
SA Competition Commission makes recommendation to the Tribunal that the Lonmin
acquisition be approved subject to agreed conditions
Johannesburg, 18 September 2018: Sibanye-Stillwater (Tickers JSE: SGL and NYSE: SBGL) and Lonmin
Plc ("Lonmin") are pleased to note that the South African Competition Commission (“the Commission”)
has recommended that the South African Competition Tribunal (“Tribunal”) approves the proposed
acquisition of Lonmin Plc, subject to certain 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.
Shareholders are referred to the announcement on 14 December 2017, relating to the offer for the
entire issued and to be issued share capital of Lonmin (the "Offer") for further details on the 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.
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”.
These conditions include, inter alia:
•
to mitigate the potential impact of retrenchments, Sibanye-Stillwater will investigate and implement
certain mining projects, subject to the economic viability of the projects being supported by
prevailing future metal prices and enhanced operating costs achieved through the realisation of
expected synergies.
•
In further mitigation of the potential impact of job losses in the region, Sibanye-Stillwater has also
committed to investigate the feasibility of an Agri-Industrial Community Development Programme
in the Rustenburg area similar to the Bokamoso Barona Initiative, a public-private partnership on the
West Rand, which was announced on Friday 7 September 2018.
•
In addition, Sibanye-Stillwater will honour Lonmin’s current and future Social and Labour plans as
agreed with the Department of Mineral Resources, as well as the agreements currently in place with
the Bapo ba Mogale Community.
•
Finally, the Company continues to support transformation in the mining industry, including the
development of Historically Disadvantaged Persons (“HDP”). In this regard Sibanye-Stillwater will
both honour existing contracted HDP suppliers to Lonmin and endeavour to continue to utilise HDP
suppliers, on reasonable commercial terms, in line with the Company’s existing procurement
policies.
Sibanye Gold Limited
Trading as Sibanye-Stillwater
Reg. 2002/031431/06
Incorporated in the Republic of South
Africa
Share code: SGL
ISIN – ZAE000173951
Issuer code: SGL
(“Sibanye-Stillwater”,”the Company”
and/or “the Group”)
Registered Address:
Constantia Office Park
Bridgeview House • Building 11 •
Ground Floor
Cnr 14th Avenue & Hendrik Potgieter
Road
Weltevreden Park • 1709
Postal Address:
Private Bag X5 • Westonaria • 1780
Tel +27 11 278 9600 • Fax +27 11 278
9863
Lonmin Plc (Incorporated in
England and Wales)
(Registered in the Republic of
South Africa under registration
number 1969/000015/10)
JSE code: LON
Issuer Code: LOLMI & ISIN :
GB00BYSRJ698 ("Lonmin")
LEI: 213800FGJZ2WAC6Y2L94