Sibanye to raise $1B in equity, $1B in debt for Stillwater deal

|By:, SA News Editor

Sibanye Gold (NYSE:SBGL) says it will launch a $1B capital raise through a rights offer to partly fund its takeover of Stillwater Mining (NYSE:SWC), a day after the deal secured a U.S. regulatory approval.

SBGL says it also plans to raise another $1B in debt, probably in the bond market, to fund the takeover, and expects the two tranches of capital to be raised by the end of June.

The deal is still subject to shareholder votes of both companies, which have scheduled shareholders' meetings on April 25 to vote on the proposed merger.