South African miner Exxaro Resources saw its shares rise 9% on Thursday after reporting a 13% increase in half-year profit, Reuters reported, as the company signalled plans to review shareholder returns following a major acquisition.

Headline earnings per share reached 17.24 rand for the six months to June 30, up from 15.28 rand a year earlier. The company declared an interim dividend of 8.43 rand per share, marking a 6% increase on last year’s payout. Exxaro closed the half-year with a cash balance of 12.4 billion rand.

The miner is finalising a deal to acquire manganese assets from Ntsimbintle Holdings and OM Holdings, part of its strategy to diversify away from coal and expand into critical minerals essential for the global transition to cleaner energy technologies. CEO Ben Magara told Reuters the transaction price is expected to range between 9 billion and 14.64 billion rand ($507 million–$825 million), depending on minority shareholder participation.

Magara added that the deal would free the company from a previously maintained 12–15 billion rand acquisition cash buffer. “We are now reviewing our capital allocation framework to enhance shareholder returns post the manganese transaction,” he said. Finance director Riaan Koppeschaar confirmed higher dividends were among the options under consideration, but final decisions would follow the deal’s completion, expected in the first quarter of 2026.

While Exxaro continues to explore additional critical mineral opportunities, Magara said it does not anticipate pursuing transactions on the scale of the manganese acquisition.