The Dar es Salaam Stock Exchange (DSE) Plc will officially delist Acacia Mining on Monday 18 November. This is two months after the company was delisted from the London Stock Exchange Group (LSEG).
Delisting Acacia will cut the DSE’s total market capitalisation by Sh2.727 trillion. The DSE total market capitalisation will now be Sh16.943 trillion.
As opposite to Sh19.67 that was registered during the close of trading last Friday.
The DSE’s domestic market capitalisation will, however, remain unchanged at Sh9.011 trillion. DSE’s chief executive commented that Acacia Mining has formally communicated their intent to be delisted.
The delisting of Acacia Mining shares at LSEG and subsequently the DSE follow the September 17 announcement that Acacia has been acquired by Barrick Gold Corporation. Barrick had also earlier announced on September 13 that it had acquired shares it did not own at its subsidiary, Acacia.
Acacia Mining integration with Barrick Gold
Before the takeover, Barrick Gold owned 63.9 percent of Acacia Mining – formerly operating as African Barrick Gold Plc. The Barrick Gold corporation stated that the firm is determined to acquire all Acacia Mining shares from minority shareholders.
The announcements were followed by the delisting of Acacia Mining from the LSEG. The Fair Competition Commission also announced that it was scrutinising Barrick’s takeover of 16 mining. And mineral exploration firms that were previously own by Acacia Mining.
The firms include ABG Exploration, Barisun Exploration, Bulyanhulu (Holdings) Pty Limited, IDG Kitongo, Vulcan Resources, DG Aurum Tanzania Limited, and Kasubuya Exploration Company Limited.
The list also includes Pangea Minerals Limited, Prime Gold Exploration Limited, Sub-Sahara Resources (Tanzania) Limited, IDG Aurum Holdings, North Mara Gold Mine, Matinje Exploration Limited, Aptian Resources, Bulyanhulu Gold Mine and Itobo Exploration Limited.
Hence, this is the second time in DSE’s 23-year history that a company has been delisting. In 2011, the DSE delisted Nicol for failure to submit financial results for 2009 and 2010. Nicol has, however, register since June 7, 2018, after it met all the DSE’s requirements.