Kinetiko Energy Limited (ASX:KKO) entered into a non binding letter of agreement to acquire remaining 51% stake in Afro Energy (Pty) Ltd from Badimo Gas (Pty) Ltd. for AUD 65.7 million on May 7, 2021. Kinetiko Energy Limited executed a binding agreement to acquire remaining 51% stake in Afro Energy (Pty) Ltd from Badimo Gas (Pty) Ltd. on December 23, 2021. Under the terms, Kinetiko Energy will issue 597,704,812 shares. Post completion, Badimo Gas (Pty) Ltd. will own approximately 46% of the post-merger issued share capital of Kinetiko Energy Limited. With effect from completion of the merger, Badimo will have the right to nominate (and Kinetiko Energy Limited must appoint) Donald Ncube and Robert Bulder to the board of Kinetiko Energy Limited. The transaction is subject to approval of offer by Kinetiko Energy Limited shareholders, South African Revenue Service approval for the transaction and definitive agreement. As of March 17, 2022, Department of Mineral Resources and Energy in South Africa has approved the transaction. As of December 2, 2022, the shareholders and board of directors of both Badimo Gas (Pty) Ltd. and Kinetiko Energy Limited approved the transaction. As of September 4, 2023, Kinetiko secures AUD 6.5 million funding to complete the transaction. The transaction is expected to be completed this year. Sherif Andrawes of BDO AG acted as a financial advisor to Kinetiko Energy Limited.

Kinetiko Energy Limited (ASX:KKO) completed the acquisition of remaining 51% stake in Afro Energy (Pty) Ltd from Badimo Gas (Pty) Ltd. for AUD 54.5 million on September 21, 2023. In association with the Acquisition, and as approved by shareholders at the Company?s recent general meeting on 23 June 2023, two nominee directors of Badimo, Donald Ncube and Robert Bulder,will be appointed to the Company?s Board of Directors effective immediately.