Company Briefs: CNMC Goldmine Holdings

CNMC Goldmine Holdings

Catalist-listed gold producer CNMC Goldmine Holdings has signed a non-binding letter of intent to acquire a majority stake in a Malaysian company authorised to mine for gold and other minerals in Kelantan.

The firm said it is proposing to take a 51 per cent stake in Pulai Mining, which has an exploration and mining concession in Kelantan spanning 38.4 sq km. This is almost four times the size of CNMC's flagship Sokor gold field project, which is in the same state.

Pulai Mining will issue new shares to CNMC for RM13.8 million (S$4.6 million). The acquisition will be funded through CNMC's internal resources, which included US$26.2 million (S$35.5 million) in cash as at March 31.

CNMC's gold output for the first three months this year rose 11.6 per cent compared with the same period last year.

The increase, along with lower costs and foreign exchange gains, more than doubled the company's net profit for the quarter to US$4.55 million, up from US$1.98 million for the same period in the previous year.


Singapore Exchange

The Singapore Exchange (SGX) and the Baltic Exchange (BE) have agreed to extend the period of exclusive talks regarding the SGX's proposed acquisition of the London-based firm. The deadline for the talks, which was initially June 30, has been extended to Aug 31.

The BE has been described as a vital cog in the global shipping industry. It compiles extensive market data such as daily indices tracking the dry bulk and tanker shipping sectors, which member firms use as benchmarks for settling shipping contracts and derivatives.

SGX said yesterday that together with the Baltic Exchange, they have met shareholders and stakeholders to discuss the transaction and have made good progress in consultations. However, it reiterated that there is no guarantee the talks will result in a deal.


CMA CGM

French shipping company CMA CGM announced on Monday that it has crossed the 90 per cent ownership threshold in Neptune Orient Lines (NOL). CMA CGM said it now intends to have NOL delisted from the mainboard of the SGX. Following its all-cash voluntary conditional general offer for NOL, launched on June 6, CMA CGM said it now owns shares representing approximately 90.68 per cent of NOL's share capital.

A version of this article appeared in the print edition of The Straits Times on June 29, 2016, with the headline 'Company Briefs'. Print Edition | Subscribe