Petmin (AIM:PTMN, JSE:PET) updates shareholders on the sale of the Baobab investment to GVM.
As stated in the Interim Financial Statement, published on 5 March 2007, “The Company has reached an agreement with GVM Metals Limited to dispose of its investment in Baobab for an amount of GBP 2.5 million (+/- R35 million) (“the disposal consideration”). The sale is subject to Ministerial approval, by no later than 30 April 2007, in terms of the Mineral and Petroleum Resources Development Act, 2002. In accordance with IFRS, assets of R1.5 million have been disclosed as assets held for sale and are carried at cost which is lower than their net realisable value. Revenue on the sale will be recorded when the last remaining suspensive condition is satisfied.”
The board is pleased to announce that all the conditions precedent have been met, the disposal consideration has been received and the transaction is now complete.
Shareholders are advised that the company is still in negotiations, which if successfully concluded may have a material effect on the price of the company’s securities. Accordingly, shareholders are advised to exercise caution when dealing in Petmin’s securities until a full announcement is made.
© 2009 Petmin Limited