{"id":841727,"date":"2025-11-03T10:04:16","date_gmt":"2025-11-03T08:04:16","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=841727"},"modified":"2025-11-03T10:04:21","modified_gmt":"2025-11-03T08:04:21","slug":"south-african-miner-worth-r60-billion-sells-business-for-r250-million","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/841727\/south-african-miner-worth-r60-billion-sells-business-for-r250-million\/","title":{"rendered":"South African miner worth R60 billion sells business for R250 million"},"content":{"rendered":"\n<p>Exxaro Resources has announced the sale of its entire shareholding in Exxaro FerroAlloys Proprietary Limited in a deal worth R250 million.&nbsp;<\/p>\n\n\n\n<p>Exxaro, which has a market cap of R60 billion, is selling the company to a consortium made up of FerroAlloys employees, FerroAlloys Management, and EverSeed Energy Proprietary Limited.\u00a0<\/p>\n\n\n\n<p>Everseed is an investor and operator in the resources and energy sectors and has invested in projects across Southern Africa, Europe and North America.<\/p>\n\n\n\n<p>FerroAlloys is a South African-based producer of ferrosilicon. It serves a well-established domestic customer base and hold an active export licence.\u00a0<\/p>\n\n\n\n<p>Exxaro said that the transaction will allow the company to expand its footprint and enhance its competitiveness in global supply chains.&nbsp;<\/p>\n\n\n\n<p>The transaction was finalised on 31 October 2025 and was funded via a combination of the purchasers\u2019 equity, commercial debt, and vendor finance.&nbsp;<\/p>\n\n\n\n<p>The post-transaction ownership structure of FerroAlloys will be:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>EverSeed: 60%<\/li>\n\n\n\n<li>FerroAlloys Management: 30%<\/li>\n\n\n\n<li>FerroAlloys Employee Share Ownership Plan (ESOP): 10%<\/li>\n<\/ul>\n\n\n\n<p>With effect from the closing date, all contracts, obligations, and commitments of FerroAlloys will remain in force to ensure business continuity.&nbsp;<\/p>\n\n\n\n<p>\u201cThis divestiture marks another strategic milestone in Exxaro\u2019s journey as we accelerate the delivery of our strategy,\u201d said Exxaro CEO Ben Magara.\u00a0<\/p>\n\n\n\n<p>\u201cWe are focusing on our strong coal base, growing energy solutions business and acquisitive growth ambitions in energy transition metals.\u201d&nbsp;<\/p>\n\n\n\n<p>\u201cWe are confident that EverSeed, alongside the management team and employees, will continue to build a resilient and competitive business that contributes meaningfully to South Africa\u2019s industrial base and export potential.\u201d&nbsp;<\/p>\n\n\n\n<p>Kerwin Rana, CEO of EverSeed, said that the acquisition of FerroAlloys is squarely aligned with the company\u2019s long-term strategy to build and operate essential industrial businesses.&nbsp;<\/p>\n\n\n\n<p>\u201cWe are particularly pleased that the structure aligns interests across management and employees,\u201d said Rana.&nbsp;<\/p>\n\n\n\n<p>\u201cWith management and employees invested alongside us, we will deliver continuity for customers today, and safe, disciplined and sustainable growth into the future.\u201d<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Exxaro&#8217;s next moves<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a  data-lightbox=\"post-image\" href=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2025\/03\/Ben-Magara-1.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"576\" src=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2025\/03\/Ben-Magara-1-1024x576.jpg\" alt=\"\" class=\"wp-image-816699\" srcset=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2025\/03\/Ben-Magara-1-1024x576.jpg 1024w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2025\/03\/Ben-Magara-1-300x169.jpg 300w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2025\/03\/Ben-Magara-1-768x432.jpg 768w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2025\/03\/Ben-Magara-1.jpg 1200w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/a><figcaption class=\"wp-element-caption\">Exxaro CEO Ben Magara<\/figcaption><\/figure><\/div>\n\n\n<p>The deal follows Exxaro\u2019s acquisition of manganese assets within the Kalahari Manganese Field in the Northern Cape in a deal worth over R11 billion.<\/p>\n\n\n\n<p>Exxaro said that the deal supports the company\u2019s diversification strategy into critical minerals that power global development, including manganese.&nbsp;<\/p>\n\n\n\n<p>Manganese is used in steel and emerging battery technologies and is seen as a key part of South Africa\u2019s energy mix.&nbsp;<\/p>\n\n\n\n<p>\u201cThis is a proud moment for Exxaro. We are growing into future-facing minerals like manganese while continuing to invest in coal, which remains a priority for us and vital to South Africa\u2019s economy and energy needs,\u201d said Magara.&nbsp;<\/p>\n\n\n\n<p>The move is indicative of South Africa\u2019s likely shift from coal energy to renewable sources. Exxaro is one of Eskom\u2019s largest coal suppliers alongside Serati.&nbsp;<\/p>\n\n\n\n<p>Coal remains one of the dirtiest, least efficient and costliest sources of electricity.&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Exxaro Resources has sold its FerroAlloys business to a consortium, which includes employees and management of the company. <\/p>\n","protected":false},"author":95,"featured_media":810943,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[23984,11085,23985],"class_list":["post-841727","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-everseed","tag-exxaro","tag-ferroalloys"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/841727","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=841727"}],"version-history":[{"count":2,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/841727\/revisions"}],"predecessor-version":[{"id":841730,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/841727\/revisions\/841730"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/810943"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=841727"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=841727"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=841727"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}