Update on financing for Kabwe transaction
Shuka Minerals Plc has provided an update on the financing for its acquisition of Leopard Exploration and Mining Limited and the Kabwe Zinc Mine, noting that the $1.05 million balance of cash consideration due to the vendors, along with approximately £450,000 of the increased GMI Loan, is now expected in December 2025, rather than November. The company anticipates receiving the remaining balance of the £2 million GMI loan facility by mid-December 2025, which will facilitate the completion of all acquisition tranches by December 31, 2025, ultimately leading to Shuka's 100% ownership of LEM.
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On 19 November 2025, the Company announced settlement of an initial tranche of the Acquisition consideration, giving the Company an initial effective position of 22.2% in LEM and the world class Kabwe Mine. Further tranches are to be paid following receipt by Shuka of funds from Gathoni Muchai Investments Limited ("GMI"), pursuant to the increased loan ("GMI Loan") entered into on 30 June 2025, until Shuka's interest in LEM has reached 49.9%. Thereafter, a final tranche will comprise the balance of the Acquisition cash, share and warrant consideration to acquire a resultant 100% of LEM, with completion of all tranches to occur by no later than 31 December 2025.
GMI have advised the Company that while it had expected to make payment to the Company by the end of November 2025 of funds pursuant to the Increased GMI Loan (announced on 1 July 2025), to satisfy the $1.05m balance of cash consideration due to the LEM vendors ("Acquisition Balance"), GMI now expects payment of the Acquisition Balance, as well as the remaining balance of the Increased GMI Loan, being approximately £450k, to be made in December 2025.
The Company remains in regular contact with GMI regarding the status of funds due and its expectation is that the balance of the £2m GMI loan facility will be paid to the Company by mid-December 2025. A further announcement will be made in due course.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.