1st Dec 2015 08:25
LONDON (Alliance News) - African Potash Ltd on Tuesday said it has signed a deal with South African investment company Beryl Holdings Pty Ltd to collaborate on its fertiliser operations in southern and eastern Africa.
Under terms of the deal, African Potash will enter a long-term deal with Beryl, whereby Beryl's main fertiliser trading activities will be restructured into a newly-formed Mauritian company, which will become a wholly-owned African Potash subsidiary.
African Potash will cover the GBP8.0 million consideration due under the agreement with the issue of shares to Beryl at 2.61 pence per share.
"This transaction will strengthen and expedite our vision to become an integrated fertiliser operator within Africa," said African Potash Executive Chairman Chris Cleverly.
African Potash shares were up 11% to 1.75p on Tuesday morning, one of the best performers in the AIM All-Share.
By Sam Unsted; [email protected]; @SamUAtAlliance
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