LONDON (Alliance News) - Coal of Africa Ltd on Tuesday said the sale of its Mooiplaats Colliery has been delayed in order to allow more time for the buyer to provide proof of funding.
Coal of Africa said the sale and purchase agreement with Blackspear Capital on the ZAR250 million sale of the property has been extended to June 30 to allow Blackspear more time to satisfy the proof of funding conditions involved in the deal. The previous deadline was April 30.
The company said the extension has been caused by the recent volatility in commodity markets.
"Despite this delay in the completion of the sale of Mooiplaats, much progress has been made and we remain committed to the completion of this transaction as soon as possible. The company has a number of interested parties at various stages of the due diligence process," said David Brown, Coal of Africa's chief executive.
Shares in Coal of Africa were up 4.8% to 2.75 pence on Tuesday.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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