JOHANNESBURG Aug 21 (Reuters) – Lonmin ,
the world’s third-largest platinum produer, said on Tuesday it
may issue new shares to shore up a balance sheet hit by lost
production and revenue after a violent strike last week left 44
dead.
“The company is reviewing all the options available to
strengthen its financial structure, including possible access to
the equity capital markets,” Lonmin said in a statement.
Analysts have speculated the company may try to raise new
capital from shareholders as existing agreements with lenders
require it to keep a lid on its debt-to-profit ratios.
The company said those ratios would likely be breached by
September 30.
Investors have hammered Lonmin shares on concerns about lost
earnings from the strike, sending its stock down nearly 13
percent last week.
The shares rose for the first time in 9 trading sessions on
Tuesday, rising 3.6 percent in Johannesburg.
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