Thungela Resources completes share repurchase program

Published 29/04/2025, 07:34
Thungela Resources completes share repurchase program

JOHANNESBURG - Thungela Resources Limited, a South African mining company, has announced the completion of a share repurchase program, whereby the company has bought back 4,320,127 of its own ordinary shares. This repurchase, which represents 3.1% of Thungela’s issued share capital at the time of the authorization, was conducted between November 7, 2024, and April 24, 2025.

The transactions were carried out on the open market through the order book operated by the Johannesburg Stock Exchange (JSE), with no prior understanding or arrangements with shareholders. The repurchase reached the 3% threshold on April 24, 2025, which prompted the announcement as per JSE Listings Requirements.

Thungela has spent approximately R475.6 million on the repurchase initiative, with individual share prices ranging from R91.04 to R140.00. Following the repurchase, the company still has the authority to buy back an additional 6.9% of its shares under the current general authority granted by shareholders on June 4, 2024.

The repurchased shares are now held in treasury by a wholly-owned subsidiary of Thungela and will not be cancelled, remaining listed on the exchange. The board of Thungela has provided assurance that the company and its group will remain financially stable, with sufficient assets, capital, reserves, and working capital to meet their obligations for the next twelve months.

The funding for the share repurchase came from Thungela’s available cash resources, and the financial impact of the transaction was reported to be non-material, resulting in a decrease in the group’s cash balances by the amount spent on the repurchase.

This move is part of Thungela’s capital management strategy and reflects the company’s financial health and commitment to delivering shareholder value. The information regarding this transaction was released by the company today and is based on a press release statement.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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