Investment firm Appian Capital Advisory has served South African miner Sibanye-Stillwater with a notice of claim seeking compensation for the latter’s termination of a planned billion-dollar acquisition of two mines in Brazil.
Appian, a London-based investment company advising two affiliated private equity funds, which in turn own the Brazilian mines, said the transaction was worth more than US$1.2 billion and called Sibanye’s failure to close on it “unlawful”.
The company abandoned the deal on Jan. 24, citing a geotechnical instability at the Santa Rita nickel mine which it said would have had a material and adverse impact on mining operations there.
Appian said that characterisation is false and that it has damaged the market perception of Atlantic Nickel and Appian.
“Appian intends to rigorously enforce its legal rights and pursue Sibanye-Stillwater for all damages and losses incurred,” the firm said.
Sibanye-Stillwater is in a closed period ahead of results. It was meant to report its full-year operating and financial results on Feb. 17 but delayed the release to March 3, saying the completion of the financial component was taking longer than planned.
