Johannesburg – Mining investment company Goliath Gold (GGM) on Friday reported a headline loss per share for the six months ended June of 42.47 cents from the 17.40 cents loss reported in the corresponding period last year.
During the period under review‚ the group reported a net loss of R53.6m from the R19.2m recorded in the previous corresponding period. This‚ the group said‚ was due to increased exploration expenditure and the share-based payment expense of R31.8m incurred as a result of the black economic empowerment transaction entered into by the group.
“The results also include the losses incurred by the Sub-Nigel operations‚ included in general and administrative expenditure‚ which was placed under care and maintenance in September 2011 and was acquired as part of the acquisition of the Megamine business‚” Goliath Gold said in a note on Friday.
Goliath Gold acquired the Megamine business from Gold One Africa‚ a wholly owned subsidiary of Gold One International‚ during the period under review. The transaction was‚ however‚ declared unconstitutional on March 28.
“Goliath Gold settled the price by issuing 104 million ordinary shares to Gold One Africa resulting in the issued share capital increasing to 147 million ordinary shares. Gold One Africa acquired a further one million ordinary shares when the remaining shareholders in Goliath Gold accepted the offer by Gold One Africa to receive one Gold One share for every 1.2 Goliath Gold shares held. This resulted in Gold One Africa holding 72% of the issued share capital in Goliath Gold‚” it said.
The group did not declare a dividend.
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