Mine Restoration Investments (MRI)‚ a company established to address the unique challenges of the acid mine drainage (AMD) problem in SA‚ made its debut on the AltX on Monday morning.
Speaking at the listing‚ CEO Jaco Schoeman said the listing formed part of a broader strategy for the business‚ "focussing on deepening our capital base to take advantage of future opportunities for growth".
"Our board and advisers carefully assessed the company's position and agreed that the move from London to an AltX listing would be most beneficial to the company and its shareholders at this stage‚" he said.
Previously known as Capricorn Investment Holdings‚ a cash shell on the JSE‚ MRI commenced trading with a market capitalisation of R109.4-million and at an opening price of 24 cents per share.
This comes after the acquisition of 100 percent of Western Utilities Corporation (WUC) from London AIM-listed Watermark‚ for a combination of shares and cash.
WUC was established in January 2006 to address the unique challenges of‚ and develop a solution to‚ AMD in SA.
The AMD problem is being tackled from two angles — the briquetting of coal fines‚ which will assist with prevention of AMD and secondly‚ the larger project of treatment of AMD for the Western‚ Central and Eastern basins on the Witwatersrand. The AMD solution developed is currently awaiting approval from the Department of Water Affairs.
The company also developed and houses proprietary technology in respect of coal briquetting‚ which is the process of converting anthracite fines into coal briquettes for off-take back to mines for export. The development of the coal briquetting plant has already commenced and it is anticipated that production will ensue in December 2012.
Commenting on the listing‚ Nicole Cheyne‚ AltX spokesperson said: "We welcome MRI to AltX as one of the first 'start-up'-type companies to be listed on the board. This is one of the reasons AltX was established — to provide start-ups and entrepreneurs with a platform from which to raise capital and fund growth."