Exxaro reaches deal about selling stake in US Tronox

Al Greenwood

27-Nov-2018

HOUSTON (ICIS)–South African miner Exxaro Resources has agreed to sell its remaining 24% stake in Tronox in a controlled and scheduled manner, Tronox said on Monday.

Exxarro is the largest shareholder in Tronox.

Exxaro also granted Tronox the option, but not the obligation, to buy any shares that Exxaro chooses to sell, Tronox said.

Tronox also agreed to speed-up the purchase of Exxaro’s 26% stake in a Tronox UK subsidiary, Tronox said. This subsidiary holds loans that were made to two Tronox subsidiaries in South Africa.

Exxaro also agreed to support Tronox’s bid to change its domicile from Australia to the UK, Tronox said.

Tronox will hold a shareholder meeting in the first quarter of 2019 to approve the bid to change its domicile, the company said.

The move will create a new holding company named Tronox Holdings PLC.

By becoming domiciled in the UK, Tronox said it would have more authority and flexibility to buy back its own shares. The move will also eliminate Tronox’s dual-class share structure.

This structure required Tronox to get approval from both classes of shareholders for certain items.

Tronox makes titanium dioxide (TiO2).

READ MORE

Global News + ICIS Chemical Business (ICB)

See the full picture, with unlimited access to ICIS chemicals news across all markets and regions, plus ICB, the industry-leading magazine for the chemicals industry.

Contact us

Now, more than ever, dynamic insights are key to navigating complex, volatile commodity markets. Access to expert insights on the latest industry developments and tracking market changes are vital in making sustainable business decisions.

Want to learn about how we can work together to bring you actionable insight and support your business decisions?

Need Help?

Need Help?