Bens Creek Group (BEN)

Sector:

Energy Producers

Index:

FTSE AIM All-Share

1.50p
   
  • Change Today:
    -0.052p
  • 52 Week High: 20.60
  • 52 Week Low: 1.50
  • Currency: UK Pounds
  • Shares Issued: 399.87m
  • Volume: 774,767
  • Market Cap: £6.00m

Bens Creek agrees to buy rail track holding company

By Josh White

Date: Friday 23 Dec 2022

LONDON (ShareCast) - (Sharecast News) - North American metallurgical coal miner Bens Creek announced on Friday that its wholly-owned subsidiary Bens Creek Carbon has entered into an agreement to acquire up to 100% of the membership interests in Bens Creek Rail Holding.
The AIM-traded firm said BC Rail Holdings is currently owned by its largest shareholder, MBU Capital Group.

It said the consideration payable by Bens Creek would be up to $0.65m in cash, which would be satisfied from its existing cash resources.

The consideration proposed to be paid by Bens Creek was the same amount paid by MBU to acquire the membership interests in BC Rail Holding on 28 February last year.

BC Rail Holding owns the rail track, consisting of 25,580 tract feet of rail, for the purposes of Bens Creek flood loading coal into rail cars at the company's preparation plant and transporting it using the track.

There was currently a rail lease agreement in place between BC Rail Holding and Bens Creek Operations WV - a wholly owned subsidiary of Bens Creek - under which Bens Creek leases the tract from BC Rail Holding for an annual rental of $55,000.

Since 1 April, Bens Creek and MBU had taken "various steps" to achieve a separation between the two companies, with the proposed acquisition a continuation of that strategy.

Under the terms of the deal, Bens Creek acquired an initial 26% of the membership interests of BC Rail Holding for $0.17m in cash, payable from its cash resources.

In addition, under the agreement, Bens Creek also had the right at its sole discretion to acquire the remaining 74% of the membership interests of BC Rail Holding for a total of up to $0.48m in cash, payable by exercising those rights at any time over the next 12 months.

"We are pleased to have entered into an agreement to purchase the rail track and to have acquired an initial 26% interest in BC Rail Holding, the rail track being a further transport component now moving to being under our control," said chief executive officer Adam Wilson.

"This purchase will further separate the company from its largest shareholder, MBU, who have been supportive of the business since inception and continue to be so."

At 1224 GMT, shares in Bens Creek Group were down 4.55% at 21p.

Reporting by Josh White for Sharecast.com.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

 

BEN Market Data

Currency UK Pounds
Share Price 1.50p
Change Today -0.052p
% Change -3.35 %
52 Week High 20.60
52 Week Low 1.50
Volume 774,767
Shares Issued 399.87m
Market Cap £6.00m

BEN Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
32.63% above the market average32.63% above the market average32.63% above the market average32.63% above the market average32.63% above the market average
9.92% below the sector average9.92% below the sector average9.92% below the sector average9.92% below the sector average9.92% below the sector average
Price Trend
98.97% below the market average98.97% below the market average98.97% below the market average98.97% below the market average98.97% below the market average
98.6% below the sector average98.6% below the sector average98.6% below the sector average98.6% below the sector average98.6% below the sector average
Income Not Available
Growth
23.69% above the market average23.69% above the market average23.69% above the market average23.69% above the market average23.69% above the market average
31.25% above the sector average31.25% above the sector average31.25% above the sector average31.25% above the sector average31.25% above the sector average

BEN Dividends

No dividends found

Trades for 28-Mar-2024

Time Volume / Share Price
16:15 53,281 @ 1.55p
16:11 20,000 @ 1.50p
16:10 25,000 @ 1.50p
16:09 20,000 @ 1.50p
16:09 125,000 @ 1.50p

BEN Key Personnel

CEO Adam Wilson

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