Lonmin Share News (LMI)

Lonmin Information

There is currently no data for LMI

Lonmin warns on sales as takeover drags on

Fri, 10th May 2019 08:45

(Sharecast News) - Lonmin warned annual sales would be at the lower end of expectations on Friday after production fell and the platinum miner was disrupted by delays to its planned takeover. Mining production in the three months to the end of March fell 89.4% to 2.1m tonnes from a year earlier and total platinum production fell 12.3% to 125,803 ounces, Lonmin said in a trading update.As a result, sales this year will be near the bottom of Lonmin's earlier guidance of 640,000 to 670,000 platinum ounces.Annual unit costs will be higher than expected at between 13,600 rand and 14,400 rand per PGM ounce, up from between 12,900 rand and 13,400 rand per PGM ounce.Operating profit for the first six months of 2019 was $70m compared with a loss of $32m a year earlier. The improvement was driven by higher prices and a weaker rand-dollar exchange rate.Lonmin, which has said it is not financially strong enough to weather market turbulence on its own, accepted a £285m bid from South Africa's Sibanye-Stillwater in December. The deal has been held up because of legal proceedings over industrial action at Sibanye-Stillwater's platinum mines.Lonmin said its production would normally pick up in the second half but that operational performance was hit during the first half by low morale and high management turnover caused by its protracted takeover by Sibanye-Stillwater. This affected safety and production, safety stoppages and power outages.Ben Magara, Lonmin's chief executive, said: "Despite the progress made, this does not provide a long-term solution to the capital structure challenges faced by Lonmin, as it is still inadequate to invest in the new projects necessary to avoid shaft closures and job losses and maintain our production profile."The company's available liquidity is also still vulnerable when considering its working capital requirements and continuing exposure to volatile currency and metal markets."He urged shareholders to accept Sibanye-Stillwater's bid at a meeting on 28 May.Lonmin shares fell 1.3% to 64.92p at 0930 BST.

More News

19 Nov 2015 00:00

Lonmin shareholders to vote on cut-price rescue rights issue

By Olivia Kumwenda-Mtambo JOHANNESBURG, Nov 19 (Reuters) - Lonmin shareholders will on Thursday decide whether to approve a deeply-discounted $407 million share issue, as the beleaguered platinum producer seeks cash to stay afloat. Battered by strikes, rising costs and weak platinum p

17 Nov 2015 09:53

BROKER RATINGS SUMMARY: Citigroup Says Buy Tesco, Sell Morrisons

12 Nov 2015 16:25

AGM, EGM Calendar - Week Ahead

11 Nov 2015 15:55

As Lonmin fights for survival, miners move to cash in and quit

* Hit with losses, Lonmin striving to stay afloat * Seeking $407 mln in massively-discounted share issue * Aims to cut 6,000 jobs by next year to cut costs * So far more than 3,000 workers have left voluntarily By Olivia Kumwenda-Mtambo MARIKANA, South Africa, Nov 11

10 Nov 2015 14:38

Lonmin tumbles as investors run for the exit ahead of rights issue

(ShareCast News) - Shares in beleaguered platinum miner Lonmin tumbled for the second day in a row as investors rushed for the exits ahead of a highly-discounted rights issue. Lonmin said on Monday it would launch a $407m (£270m) rights issue, which represents a 94% discount to the company's share p

9 Nov 2015 11:50

London midday: FTSE little changed as investors digest US rate expectations

(ShareCast News) - Housebuilders were the standout losers on the FTSE 100 after after Friday´s much stronger-than-expected US jobs report for October stoked speculation of rising interest rates worldwide. At midday, the FTSE 100 was off by just 0.69 points or 0.01% to 6,353.11. The latest US non-fa

9 Nov 2015 10:13

Lonmin launches rights issue at 94% discount as losses widen

(ShareCast News) - Beleaguered platinum miner Lonmin has launched a $407m (£270m) rights issue - a 94% discount to its share price last week - as it struggles to keep afloat amid declining platinum prices and rising costs. Shareholders will be able to subscribe for 46 new shares for each Lonmin shar

9 Nov 2015 09:30

UPDATE 2-Lonmin offers 94 pct discount on crucial rights issue

* Lonmin to sell 27 billion new shares * Rights issue priced at 1 pence a share * Full-year pre-tax loss widens to $2.26 bln (Adds CEO and analysts comments, shares, results) By Olivia Kumwenda-Mtambo JOHANNESBURG, Nov 9 (Reuters) - Platinum producer Lonmin priced its

9 Nov 2015 08:30

London open: Financials in the lead, homebuilders move lower

(ShareCast News) - Financials were leading gains on the Footsie early on Monday, with utilities and homebuilders again bearing the brunt of the selling pressure on the top flight index after Friday´s much stronger-than-expected US jobs report for October. The FTSE 100 was trading up by 0.33% to 6,37

9 Nov 2015 08:22

UPDATE: Lonmin Launches Rights Issue As Loss Significantly Widens (ALLISS)

9 Nov 2015 07:49

Lonmin Launches Large, Heavily Discounted Rights Issue (ALLISS)

9 Nov 2015 07:35

BUZZ-Lonmin shares soar after company offers 94 pct discount on right's issue

** Lonmin's Johannesburg-listed shares up more than 13 pct. ** Offers 94 pct discount at right's issue. ** Mining firm's $407 mln rights issue puts 27 billion new shares on offer. ** Lonmin said it would sell 27 billion shares at 1.00 pence each to its shareholders, compared to

9 Nov 2015 07:29

Lonmin prices rights issue at 1 pence a share

JOHANNESBURG, Nov 9 (Reuters) - Platinum producer Lonmin on Monday priced its $407 million rights issue at a 94 percent discount as the firm fights for survival in the face of depressed commodity prices. Lonmin said it would sell 27 billion shares at 1.00 pence each to its shareholders, c

5 Nov 2015 09:38

Thursday broker round-up

(ShareCast News) - Standard Chartered: Macquarie downgrades to underperform. Target price: 550.00p. Quarto Group Inc: Northland Capital Partners initiates new coverage with a buy, sets target price at 350.00p. Howden Joinery Group: N+1 Singer upgrades to buy. Sabmiller: Societe Generale downgrades

4 Nov 2015 13:09

UPDATE 2-Lonmin faces collapse if shareholders reject $400 mln cash call

* Lonmin says rights issue must be backed if company to survive * Company could go under between December and May 2016 (Adds analyst comment, detail) By Zandi Shabalala JOHANNESBURG, Nov 4 (Reuters) - Lonmin , world's No.3 platinum miner, urged shareholders to approve a $400 m

Latest Share Chat

Lonmin Share News (LMI)

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

Lonmin warns on sales as takeover drags on

Login to your account

Quickpicks are a member only feature

Login to your account