Dubai investors in town
Onalenna Kelebeile | Tuesday April 11, 2017 16:42
Dixon Warren said the company officials arrived mid-March. He added that the due diligence process involves assessing the company assets and any information to determine whether they can make an offer. “Once they finish the exercise they can make an offer to buy shares from Government. The intention is to stop the liquidation,” he added.
Dixon Warren said the exercise is expected to conclude by end of this month. The due diligence exercise also includes BCL subsidiaries such as Tati Nickel and brings hope that the takeover deal would be sealed soon to revive the Mine and the local economy.
It has been reported that the takeover agreement will be reached by end of this month as Government’s funding for care and maintenance is expected to come to an end at the end of April.
Buyers would then be expected to take over the care and maintenance costs and commence preparations for the reopening of the mine.
BCL and Tati Nickel were placed under liquidation in October 2016 resulting in 5,000 job losses and leading to some former employees committing suicide.