Afferro in talks with Indian energy firm

AFRICAN-focused Afferro Mining yesterday confirmed it was still in active talks regarding a potential takeover offer with several buyers, including with New Delhi-based Jindal Steel and Power Limited.

The AIM-listed miner said it had received approaches from a number of interested parties, but stressed that there was no certainty that an offer would be forthcoming, although it is thought that the Indian energy firm is a serious contender.

Earlier this month, Afferro Mining said it was in talks with fellow junior stockmarket-listed miner International Mining & Infrastructure Corporation regarding a takeover. Talks with this firm are understood to be ongoing.

ADVISERS AFFERRO’S SALES PROCESS

NEIL ELLIOT CHRIS SIM INVESTEC

NEIL Elliot and Chris Sim from Investec are working with Afferro Mining.

Elliot, the nominated adviser, joined Investec in January 2012 following the takeover of Evolution Securities, and has acted for a number of natural resources companies including Kentz Corporation, Gulf Keystone, European Goldfields and Sterling Energy. He was a key member of the team advising Firestone Diamonds on its takeover of Kopane Diamonds in 2010 and ENK on its acquisition by DMCI Holdings and D&A Income Limited in 2012. Elliot also recently advised on the takeover of Nautical Petroleum by Cairn Energy.

Sim, acting as the corporate broker,also joined Investec in January 2012 from Evolution. While at Evolution he worked on a number of transactions including fundraisings for Coal of Africa, Afferro Mining, UK Coal, Circle Oil and Nautical Petroleum and the IPO of Kentz Corporation. Since joining Investec, Sim has advised on the takeover of Nautical Petroleum for £414m by Cairn Energy and the accelerated book build for £65m in Kentz Corporation. RBC Capital Markets is working as Afferro’s joint corporate broker, and Pelham Bell Pottinger is working as the public relations adviser.