Lonmin says third-largest shareholder divests stake: Reuters

Platinum producer Lonmin Plc said in a regulatory filing that Kagiso Asset Management sold nearly 33 million shares in the company in December, fully divesting its stake.

Cape Town-based Kagiso, Lonmin’s third-largest shareholder, sold the shares on Dec. 17, a week after a crucial rights issue by the company failed to find favour with investors.

Lonmin, hurt by plunging platinum prices and high labour costs, raised $400 million through the rights issue, which priced shares at just a penny each.

The issue made Public Investment Corp, which manages South African government employee retirement funds, the largest shareholder in Lonmin with a stake of nearly 30 percent.

Kagiso was not immediately available to comment.