PIC increases Gold Fields stake
South Africa’s Public Investment Corp. has boosted its stake in Gold Fields Ltd. to 15%, giving the pension fund an even greater say in the future of one of the country’s biggest miners.
The PIC, which oversees more than R2.5 trillion of mainly government workers’ pensions, is a key investor in many of South Africa’s largest companies and its support is often crucial for major corporate transactions. Gold Fields climbed as much as 5.4% in Johannesburg trading.
The increased investment in Gold Fields comes as one of the country’s most important miners is in a period of turmoil.
The company’s chief executive officer stepped down in December after a failed attempt to take over Canadian miner Yamana Gold Inc, a deal that faced significant opposition from its investors.
Gold Fields said earlier Thursday that it was on track to meet its production and cost guidance for 2023, after reporting first-quarter output for 577,000 ounces.
The company has shifted its focus to more profitable mines in Ghana, Australia and Latin America as the sector in its home country dwindles, but has also turned around its South Deep operation in South Africa.
The previous stake held by the PIC, Africa’s biggest fund manager, was 10%, according to a regulatory filling.