Tue. 30 Jul 2024, 9:07am ET
Benzinga
M&A
Consideration for the Acquisition to be $33.00 per share in a mix of cash and Lundin Mining shares; concurrently, Filo announces a C$115 Million Private Placement to BHP and Lundin Mining in
Consideration for the Acquisition to be $33.00 per share in a mix of cash and Lundin Mining shares; concurrently, Filo announces a C$115 Million Private Placement to BHP and Lundin Mining in connection with the Acquisition.
Highlights of the deal
- Crystalizes immediate value for Filo shareholders and delivers a clear and credible path to developing Filo del Sol to its full potential, backed by two of the world's leading copper miners;
- Consolidation of two key assets in the Vicuña district by the JV creates a market-leading operational footprint in the district and offers:
- Strong balance sheet capacity to fund future project development;
- Potential to capture synergies and operational efficiencies; and
- The ability for Filo del Sol to benefit from recently passed legislation in Argentina benefiting projects entering development;
- Filo shareholders that receive Lundin Mining shares will maintain upside exposure to the JV, while also benefiting from:
- Jurisdictional and project risk diversification in a company with diversified asset portfolio with long-life assets operating globally;
- Exposure to strong and increasing cash flow generation and dividends; and
- Enhanced market profile with greater share liquidity.