Sibanye Gold, the new company split out of Gold Fields, started trading on Monday with the market giving the new entity that contains the troubled South African mines of KDC and Beatrix a lowish valuation. Holders of Gold Fields stock were given one share in Sibanye for each of their Gold Fields shares.
Sibanye shares closed at R13.70, having traded between R13 and R14.78 during the day. Analysts had guessed at prices anywhere between R8 and R53. Gold Fields, meanwhile, closed R14 lower at R91.81, a fall of 13.4 per cent from Friday’s close. Job done? Continue reading »