Johannesburg — THE African Medallion Group's (AMG) gold reserves have hit a historic high of R6 billion (about US$412 million) this year. The value has been accrued between January and the current month.
"The African Medallion Group is pleased with the current global Gold markets performance. On 5 October 2018, gold was trading at an average of R17'848, which is a 10,43 percent increase since 1 January 2018 when gold was trading at an average of R16'160," AMG said in a statement to shareholders.
The two-year old start-up's accelerated growth has received a boost as it plans to enter the highly unpredictable Zimbabwean market.
This announcement comes few days after AMG founder, Frank Buyanga, made a daring offer to fund Zimbabwe Sovereign Wealth Fund, which has stalled since 2014.
The South African- based businessman offered to fund and capitalise the SWF which is anticipated to assist start-ups in the fledgling neighbouring country.
Zimbabwe, which is heavily indebted and has an unemployment rate estimated at more than 80 percent, has been unable to implement any SWF.
In June, Buyanga's AMG closed an R100 million acquisition of the Pagliari Group (Pagliari), a former subsidiary of Rand Refinery and supplier of high-quality gold products.
Pagliari has a rich history in South Africa.
Stretching way back to 1962, the company produced the largest piece of worked gold in South Africa, the 18ct gold Parliamentary Mace, a piece still exhibited at the Parliamentary building in Cape Town today.
The Mace has become the foundation and benchmark of quality.