Company News in Brief
Anglo American downplays Moranbah fire incident
Anglo American, which announced the R68-billion sale of its Australian steelmaking coal mines to Peabody in November, said on Monday it does not believe a fire at its Moranbah North Mine represents a material adverse change event (MAC) given the progress it has made towards resuming production. This refers to an event material enough to significantly alter a deal, with the group previously reporting a small, contained ignition in an area already worked for coal, resulting in the controlled and safe withdrawal of all personnel to the surface. Initial re-entry to Moranbah North mine was completed on 19 April and Anglo American said it is continuing to work closely with the safety regulator, industry experts and other key stakeholders. Earlier on Monday, Peabody said in a statement that it had notified Anglo of an MAC, saying if it wasn't resolved its satisfaction in the limited time specified under the agreement, it may elect to terminate it. "While we have remained on track to complete the steelmaking coal acquisition from Anglo, the issues at Moranbah North have created significant uncertainty around the transaction," said Peabody president and CEO Jim Grech, "A substantial share of the acquisition value was associated with Moranbah North, yet there is no known timetable for resuming longwall production."-FIN24
Astral Foods expects 50% fall in profit
SA's biggest chicken producer Astral Foods warned shareholders to expect a between 50% and 60% fall in headline earnings per share for its six months to end March. Astral had reported headline earnings of R440 million in the prior comparative period and had already warned shareholders of a sharp fall in an initial trading update in March a fall of between 55% and 60%. It said then it was contending with the effects of higher feed prices, pressure on selling prices amid promotional activity, as well as the fallout from a cyberattack. Its shares slumped on Monday morning but were trading higher by the afternoon.-FIN24
Murray & Roberts' Alex Maditse resigns
Murray & Roberts, the embattled construction and engineering firm that is moving to wind itself up, announced that acting chair Alex Maditse has resigned with effect from 30 April. They thanked him Maditse for his valuable contribution since joining it in August 2017 and he had taken the current position following the resignation of chair Suresh Kana in November.
South Ocean Holdings, an investment holding company whose subsidiaries manufacture low-voltage electrical wire, cables and accessories, announced that deputy chair Hung Lung Li will resign with effect from 21 May, though it didn't go into details. Hung, who is in his seventies, was appointed as an alternate director in 2000, a director in 2009, and as deputy vice chair in 2016.-FIN24
Anglo American, which announced the R68-billion sale of its Australian steelmaking coal mines to Peabody in November, said on Monday it does not believe a fire at its Moranbah North Mine represents a material adverse change event (MAC) given the progress it has made towards resuming production. This refers to an event material enough to significantly alter a deal, with the group previously reporting a small, contained ignition in an area already worked for coal, resulting in the controlled and safe withdrawal of all personnel to the surface. Initial re-entry to Moranbah North mine was completed on 19 April and Anglo American said it is continuing to work closely with the safety regulator, industry experts and other key stakeholders. Earlier on Monday, Peabody said in a statement that it had notified Anglo of an MAC, saying if it wasn't resolved its satisfaction in the limited time specified under the agreement, it may elect to terminate it. "While we have remained on track to complete the steelmaking coal acquisition from Anglo, the issues at Moranbah North have created significant uncertainty around the transaction," said Peabody president and CEO Jim Grech, "A substantial share of the acquisition value was associated with Moranbah North, yet there is no known timetable for resuming longwall production."-FIN24
Astral Foods expects 50% fall in profit
SA's biggest chicken producer Astral Foods warned shareholders to expect a between 50% and 60% fall in headline earnings per share for its six months to end March. Astral had reported headline earnings of R440 million in the prior comparative period and had already warned shareholders of a sharp fall in an initial trading update in March a fall of between 55% and 60%. It said then it was contending with the effects of higher feed prices, pressure on selling prices amid promotional activity, as well as the fallout from a cyberattack. Its shares slumped on Monday morning but were trading higher by the afternoon.-FIN24
Murray & Roberts' Alex Maditse resigns
Murray & Roberts, the embattled construction and engineering firm that is moving to wind itself up, announced that acting chair Alex Maditse has resigned with effect from 30 April. They thanked him Maditse for his valuable contribution since joining it in August 2017 and he had taken the current position following the resignation of chair Suresh Kana in November.
South Ocean Holdings, an investment holding company whose subsidiaries manufacture low-voltage electrical wire, cables and accessories, announced that deputy chair Hung Lung Li will resign with effect from 21 May, though it didn't go into details. Hung, who is in his seventies, was appointed as an alternate director in 2000, a director in 2009, and as deputy vice chair in 2016.-FIN24
