Hogan Lovells Advises Coal of Africa Limited on £66m Placing

LONDON, 5 December 2011 - Hogan Lovells has advised Coal of Africa Limited (CoAL) on a £66.3 million placing by an accelerated bookbuild which announced on Thursday 3 November 2011.  Hogan Lovells also acted as UK legal adviser in connection with the publication by CoAL of a UKLA-approved registration document prior to the placing.

Pursuant to the placing, CoAL will issue a total of 130,000,000 new ordinary shares at a price of 51 pence per share, raising gross proceeds of £66.3 million. The new shares represent 19.63% of CoAL's enlarged issued share capital. The placing is being effected in two tranches and is expected to complete on 14 December 2011 following shareholder approval for the issue of the second tranche of shares.

J.P. Morgan Cazenove acted as sole bookrunner, and Mirabaud Securities and Evolution Securities acted as joint lead manager and co-lead manager respectively.

Coal of Africa is an emerging developer and producer of high-quality thermal and coking coal based in South Africa. Hogan Lovells previously advised CoAL on its £55 million placing in 2010 and is continuing to advise CoAL on a number of ongoing projects.

The Hogan Lovells team advising CoAL was led by London corporate partner Richard Brown, supported by London Of Counsel Adam Hastings and associates Fiona Carlyle, Andin Fonyonga and Hazel Peck.

Commenting on the transaction, Richard said:

"We are pleased to have advised CoAL on this interesting placing, which represents one of very few equity issues at the moment given current market volatility."

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