Chinese company gets 15% stake in Aquila Resources

The Australian Foreign Investment Review Board has approved a transaction that gives China’s Baosteel a 15% stake in the diversified miner Aquila Resources. Controlling 43.9 million shares, for a subscription price of A$285.6-million,  the Chinese company becomes the second-largest shareholder in Aquila.

 Baosteel would work with Aquila to assist in sourcing low-cost financing from Chinese institutions for a number of the company’s projects. For Baosteel, Aquila’s portfolio of projects has the potential to deliver significant new supplies of iron-ore, coking coal and manganese. In addition, the two companies would also work together towards establishing a joint sales arrangement to assist in the distribution of Aquila’s, and potentially Baosteel’s share of production, from these key projects, throughout China.

Tycoons to sell stake in Russia’s gest gold mining company

Polyus Gold, Russia’s largest gold miner, has said its main shareholders, tycoons Mikhail Prokhorov and Suleiman Kerimov, were prepared to sell up to a total of 5 percent of the company. The company statement revealed that companies related to Prokhorov’s investment vehicle, Onexim Group, and Kerimov’s Nafta Moskva intended to sell the stake in the form of shares and or American Depository Receipts.

The sale is subject to market conditions and is expected to be executed through an accelerated book-building process. Prokhorov’s Onexim holds a little under 30 percent in Polyus Gold and associated shareholders another 10 percent. Kerimov’s Nafta Moskva has 37 percent. Polyus Gold’s current market capitalisation is USD11.24 billion.