Russia-based steelmaking and mining giant Evraz has announced the signing an agreement to sell 34 percent of the issued share capital of its South African subsidiary Evraz Highveld Steel and Vanadium (Highveld) to Macrovest 147 Proprietary (Macrovest), which is led by Barend Petersen, executive chairman of De Beers Consolidated Mines, for ZAR 289 million (equivalent to $27 million as of August 12, 2014). It has been agreed that Macrovest will also refinance 50 percent of the outstanding working capital facility provided by Evraz.
The sale of such a significant interest in Highveld to a local strategic investor is an important step to ensure sustainable development of Highveld as South Africa's leading steel and vanadium business.