China-based Hanhong Private Equity has invested $16.9 million in South Africa-based Stonewall Mining.
The deal was structured as a growth capital investment, with $3.9 million going to help finance the bolt-on acquisition of Transvaal Gold Mining Estate. Stonewall bought the company from Simmer & Jack Mines.
Hanhong is based in Beijing and manages a number of funds focused on the mining, petroleum, and financial investment opportunities. The investor will be represented on the Stonewall board by Simon Liu, the group’s president, and James Liu, managing partner.
Stonewall was set up as a mining company in 2010 and is headed by Lloyd Birrell, who is chief executive officer. The bolt-on, Transvaal Gold, was incorporated in 1895.