China stainless steel mogul fights to avoid a second collapse
A debt crisis is threatening the future of one of the world’s top stainless steel producers, Jiangsu Delong Nickel Industry.
Gemfields’ (LON:GEM) largest investor Pallinghurst said Monday it has received support from 96% of its shareholders to buy remaining interest in the world’s top coloured gems producer.
Gemfields says Pallinghurst’s offer undervalues the company and its prospects as a leading player in the sector.
The London-listed miner told investors it still believes Pallinghurst’s bid “undervalues Gemfields and its prospects as a leading player in the coloured gemstone sector,” and call shareholders to take no action on the offer, which remains open until July 18.
Gemfields has been at the centre of a bidding war between the South African private equity group and Fosun Gold, a unit of Fosun International.
It all began last month, when Pallinghurst tabled a share and cash offer of 38.5 pence per Gemfields share, and a few days later Fosun countered with 45.0p per share.
Gemfields, which owns the luxury Fabergé brand, produces about a third of the world’s emeralds and rubies from two mines in Zambia and one in Mozambique.
Pallinghurst currently has a 41.7% stake in Gemfields. It also has interests in the platinum and manganese sector in South Africa.
