29th May 2007 07:02
Investec PLC29 May 2007 Investec Limited Investec plcIncorporated in the Republic of South Africa Incorporated in England and WalesRegistration number 1925/002833/06 Registration number 3633621JSE share code: INL JSE share code: INPISIN: ZAE000081949 ISIN: GB00B17BBQ50 As part of the dual listed company ("DLC") structure, Investec plc and InvestecLimited notify both the London Stock Exchange and the JSE Limited of matterswhich are required to be disclosed under the Disclosure and Listing Rules of theUnited Kingdom Listing Authority (the "UKLA") and/or the JSE ListingRequirements. PALLINGHURST, AMCI AND INVESTEC ANNOUNCE A STRATEGIC ALLIANCE WITHIN THE NATURALRESOURCES SECTOR Johannesburg, 28 May 2007: Pallinghurst Resources ("Pallinghurst"), AMCI ConsMin(Cayman) L.P. ("AMCI") and Investec Limited and Investec plc (collectively,"Investec") are pleased to announce that they have concluded an agreement interms of which the parties ("Cooperation Partners") will cooperate in pursuinginvestment opportunities within the global natural resources sector("Cooperation Agreement"). The Cooperation Agreement brings together parties with a common strategicmindset, financial ability and distinguished track records in order to establishan alliance with unique expertise and execution skill in the natural resourcessector. AMCI and Investec have, under the terms of the Cooperation Agreement,allocated for investment an amount of up to USD 200 million. Furthermore, theCooperation Partners are in advanced discussions with a leading Asian steelcompany regarding an additional commitment of USD 100 million. It is expectedthat these commitments, when pooled with those being sought from investors inPallinghurst, will total between USD 1 billion and USD 1.5 billion. The Cooperation Partners will utilise their complimentary skill-sets andin-depth industry knowledge to identify opportunities on a worldwide basis andacross the commodity spectrum in order to transform and add value to the assetsinvested in. "The Cooperation Agreement brings together a wealth of experience and expertisein the natural resources sector. I have, in the past, had the privilege ofworking with each of the Cooperation Partners and, as a result, am confidentthat our alliance will give us a unique competitive advantage in identifying andexecuting innovative transactions." - Pallinghurst Chairman, Brian Gilbertson. "Concluding the Cooperation Agreement with Pallinghurst and AMCI is an excitingprospect for Investec. Both Pallinghurst and AMCI share a vision andentrepreneurial spirit that is similar to that of Investec. The CooperationAgreement will position Investec to benefit from the deal flow that is expectedto be generated" - Investec CEO Stephen Koseff. Pallinghurst is a specialist natural resources investment vehicle that seeks todevelop strategic partnerships with natural resources companies in order tocreate shareholder value. Pallinghurst is chaired by Brian Gilbertson, widelyregarded as one of the leading figures in the natural resources industry, with anotable history and proven track-record of value creation. AMCI is an affiliate of American Metals & Coal International, Inc. ("AMCIInc."), one of the world's largest and most successful privately owned coalmining companies. AMCI Inc. has made investments in resources businesses inAustralia, the United States of America ("U.S.A"), Europe, China, South Americaand southern Africa. The company was founded in the U.S.A. by Fritz Kundrun andHans Mende in 1986. Investec is a leading provider of financial services to the natural resourcesindustry, with an integrated product offering, pulling together significanttechnical skills, transaction experience and broad access to the globalfinancial markets. Investec has a proven track-record in providing creative andvalue enhancing services and product offerings to its clients. Mr Koseff added: "Investec's core operational and geographic focus in the keymarkets of Africa, Australia and the United Kingdom ideally positions it to addvalue to the natural resource opportunities envisaged in the CooperationAgreement". Investec has, pursuant to the Cooperation Agreement, been invited byPallinghurst and AMCI to participate in a proposed transaction with ConsolidatedMinerals Limited ("ConsMin"), an Australian resources company involved in theexploration, mining, processing and marketing of manganese, chromite and nickelore. On the 23rd of February, 2007 Pallinghurst and AMCI announced that, subject tostakeholder approvals, they had concluded an agreement with ConsMin to create anew diversified mid-tier mining company with significant domestic andinternational growth opportunities. An investment vehicle of Pallinghurst, AMCIand Investec ("Pallinghurst Investor") will own 60% of the newly establishedcompany ("NewConsMin) via a scheme of arrangement ("Scheme"). In terms of theScheme, existing ConsMin shareholders will hold 40% of NewConsMin, therebyproviding them with participation in the value to be created by PallinghurstInvestor's strategic shareholding in NewConsMin. Mr Gilbertson added: "We are delighted to welcome our partner Investec in theproposed transaction with Consolidated Minerals. Investec's strong resourcesfocus will complement the strengths and skills of the Pallinghurst and AMCIteams, and provide incremental benefits to all the shareholders of ConsolidatedMinerals". Under the terms of the agreement concluded with ConsMin, Brian Gilbertson, HansMende and Pallinghurst partner Arne H. Frandsen will join the board ofNewConsMin. This proposed transaction is consistent with the strategic objectives of theCooperation Partners and is an exciting initiation of this long-term alliance. ENQUIRIES Company Contact Contact numberPallinghurst Sean Gilbertson +44 7887 951 820 Arne H. Frandsen +27 79 528 2407 Investec Corporate Finance George Nakos +2711 286 7311Investec Limited David Lawrence +2711 286 7008 College Hill Johannes Van Niekerk +2711 447 3030 +2782 921 9110 Nicholas Williams +2711 447 3030 +2783 607 0761 BACKGROUND Pallinghurst Pallinghurst Resources is a specialist natural resources investment vehiclewhich seeks to develop strategic partnerships with leading resources companies.Pallinghurst Resources draws upon the strategic and industry experience of itsmanagement team, its capital markets relationships and access to high qualityopportunities worldwide to grow companies and create superior value for allshareholders. Pallinghurst Resources is chaired by Mr Brian Gilbertson. Mr Gilbertson is oneof the leading figures in the global resources industry, with a notable historyof successful value creation, including with Rustenburg Platinum Mines,Trans-Natal Ltd, Gencor, Billiton plc, BHP Billiton, Vedanta Resources and SUAL. Pallinghurst Resources has a co-investment arrangement with AMCI and Investecand is advised by Pallinghurst Resources LLP, a London-based firm authorised andregulated by the United Kingdom's Financial Services Authority. AMCI AMCI is an affiliate of the American Metals & Coal International group ofcompanies, which comprises a number of privately held coal and resourcescompanies with operations in mining, trading and investing in the resourcessector globally. American Metals & Coal International, Inc., was founded in 1986in the United States of America by Fritz Kundrun and Hans Mende, and has grownto become one of the largest private coal companies in the world. AMCI groupcompanies have made investments in resource businesses in Australia, UnitedStates of America, Europe, China, South America and southern Africa, and areactively looking for further investment opportunities across the resources valuechain. Investec Investec is an international specialist banking group that provides a diverserange of financial products and services to a niche client base in threeprincipal markets, the United Kingdom, South Africa and Australia. The group wasestablished in 1974 and currently has approximately 5 000 employees. Investecfocuses on delivering distinctive profitable solutions for its clients in fivecore areas of activity namely Private Client Activities, Capital Markets,Investment Banking, Asset Management and Property Activities. Investec is a leading provider of financial services to the resources industry,with an integrated product offering, pulling together significant technicalskills, transaction experience and broad access to the global financial markets.Investec has a proven track-record in providing creative and value enhancingservices and product offering to its clients within this important sector. In July 2002 the Investec group implemented a Dual Listed Companies Structurewith listings on the London and Johannesburg Stock Exchanges. Last year Investecacquired NM Rothschild Australia Holdings Pty Limited, in order to enhance itscapabilities and presence in Australia. The combined group's current marketcapitalisation is approximately £4.6 billion. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Investec