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• Our wealth of experience in these sectors in South Africa and on the African continent, coupled with our in-house technical skills, which enables us to structure funding solutions that address each client’s specific needs;
  
  
• Our broad range of skills across the risk spectrum, from greenfield project finance to short-term working capital facilities, which enables us to be flexible in our approach when designing the optimal funding solution;
  
  
• Our deep relationships with the corporate, technical, environmental, social and legal advisors that operate in these sectors, which enables us to provide a full-service offering; and
  
  
• Our understanding of the commodity markets, which enables us to service clients across a broad range of commodities, including precious metals, base metals, bulk commodities, and industrial minerals.

Recently the Mining and Resources team acted as global coordinator and bookrunner for the capital raising of USD400 million for Harmony Gold. This successful capital raising was oversubscribed, proving the confidence of international financial institutions in the South African gold company.
 

Harmony Gold required an innovative financing solution and our approach provided Harmony with major support in terms of balance sheet flexibility and optionality. The success of this transaction attests to Nedbank's distribution platform and capabilities to access global pools of liquidity, and also demonstrates the continuation of the long-standing relationship between our Mining and Resources team and Harmony Gold.
 

Moreover, this transaction, with global capital flowing into the South African mining industry, is positive news for the sector.
 

Our funding solutions include:

We arrange and underwrite limited recourse project finance solutions for greenfield and brownfield mining projects. This will include the design, structuring and execution of senior and standby debt facilities, commodity, exchange rate and interest rate hedging facilities, where appropriate, and overall transaction management and day-to-day monitoring throughout the life of the transaction.

We arrange, structure and underwrite debt packages that enable our clients to acquire target companies in the mining, mining services, chemicals and downstream metal beneficiation sectors. Our deep knowledge of the sector capital markets will enable us to structure bridge-to-equity and bridge-to-bond facilities to support our clients making strategic acquisitions within short time-frames.

We develop innovative structured debt funding solutions to enable our clients to optimise their balance sheet and to provide operational flexibility. This may be achieved through multi-currency debt facilities, sculpted loan repayments and capital grace periods for the financing of expansion and/or revolving credit facilities to meet their general funding or working capital requirements. We also provide guarantee facilities for environmental rehabilitation and other requirements. 

We arrange and implement project finance solutions whilst leveraging export credit agency support where appropriate, based on the source of capital goods and services for project development. We also seek development finance institution support in larger transactions and arrange political-risk insurance in higher risk jurisdictions from the public and/or private insurance market.

We have extensive experience in customising commodity price hedging programmes to meet the needs of our clients, for management’s risk mitigation purposes. Most base and precious metals can be hedged using a variety of derivative instruments to structure both long- and short-term hedging programmes.

We place a particular priority on adding value to African mining companies, which we do through the provision of expert advisory services delivered by our experienced teams based in London and Johannesburg. We also advise our Africa mining clients on merger and acquisition and capital‑raising opportunities.