RNS12 Jun 2025 07:11
Final CCPC approval is in — that’s the last major regulatory hurdle cleared, meaning the Kabwe Zinc Mine acquisition is now fully authorised and finally happening. This is a big de-risking moment for the deal. On top of that, Shuka has lined up a £1.5m unsecured, non-dilutive facility to cover the remaining cash consideration, which avoids further dilution and shows external confidence in the asset.
The share consideration (28.64m shares) will be issued at 7.737p — that’s a premium to the current market price, which is rare in this sector and suggests the vendors believe in Shuka’s long-term potential. They’ll end up with 29.99% of the company, so yes, dilution is significant, but the structure isn’t reckless. The 2 million warrants they’re getting have a 12.5p strike price, so no dilution from those unless the price more than doubles from here which is fine.
Only slight downside is the extended completion date (now 30 June), but that seems administrative at this point.
Overall, this RNS is bullish - the deal is alive, funded, and happening at terms that are surprisingly shareholder-friendly for a junior. Kabwe now moves centre stage, and with Rukwa still in the background, we're finally moving into the next phase.