Afarak Group Plc Regulatory News (AFRK)

12 Mar 2021 12:59

13:00 London, 15:00 Helsinki, 12 March 2021 - Afarak Group Plc ("Afarak" or "the Company") (LSE: AFRK, NASDAQ: AFAGR)

AFARAK GROUP PLC HAS RESOLVED ON A DIRECTED SHARE ISSUE

Stock Exchange Release

Afarak has resolved on a direct share issue without consideration (“Share Issue”) of total of 4,965,265 Afarak’s treasury shares to its South African subsidiary Chromex Mining Company (Pty) Ltd (“Chromex SA”).

Share Issue is resolved in order to accomplish and execute ownership arrangement in Chromex SA that will result in additional ownership of mining assets in South Africa. This will benefit the Company as the Group's parent company. Thus, from the Company’s point of view especially weighty financial reasons exists for the deviation from the shareholders’ pre-emptive right. 

The Share Issue take place in accordance with the decisions of the Afarak Board of Directors, on the basis of the authorization given by the Annual General Meeting of Afarak on 22 June 2020.

Due to the relevantly modest size of the transaction and the fact that the Company is increasing its ownership in assets that it already controls, the Company is not expecting the transaction to affect the financial performance of the Group in 2021.

Helsinki, March 12, 2021

AFARAK GROUP PLC

Board of Directors

For additional information, please contact:Afarak Group PlcGuy Konsbruck, CEO, +356 2122 1566, guy.konsbruck@afarak.com Financial reports and other investor information are available on the Company's website: www.afarak.com.Afarak Group is a specialist alloy producer focused on delivering sustainable growth with a Speciality Alloys business in southern Europe and a FerroAlloys business in South Africa. The Company is listed on NASDAQ Helsinki (AFAGR) and the Main Market of the London Stock Exchange (AFRK).Distribution: NASDAQ Helsinki London Stock Exchange Main mediawww.afarak.com