China’s Zijin plans selling $1.2B worth of shares to fund Nevsun takeover
China’s No.1 gold producer Zijin Mining plans to issue 8 billion yuan (about $1.2 billion) worth of shares in Shanghai to finance the acquisition of Canada’s Nevsun Resources (TSX, NYSEMKT:NSU), the biggest overseas purchase since the Beijing-backed miner went public in Hong Kong in 2003.
Zijin aims to sell up to 3.4 billion A shares to investors in China, in a plan which is subject to shareholder and regulatory approval, it said in a filing to the Hong Kong bourse.
The news comes only days after Nevsun announced Zijin had succeeded in its $1.86-billion friendly takeover bid for the company, with about 89.37% of the total issued and outstanding Nevsun shares tendered to the offer of $6 per share in cash by the Dec. 28 deadline.
The offer has now been extended until Jan. 7 to allow the remaining shareholders to tender their shares.
In recent years, the Chinese gold, copper and zinc miner has been expanding its footprint by acquiring assets from Africa to Australia.
Last summer, it spent $1.26B for a 63% in Serbia’s largest copper mining and smelting complex RTB Bor. A few days later, it trumped Lundin Mining’s (TSX:LUN) earlier hostile bid for Nevsun, gaining access to yet another Serbian asset — Timok copper and gold project. With the move, it also secured ownership of the Vancouver-based miner’s flagship operation, the Bisha copper-zinc mine in Eritrea.
Zijin has said the Canadian company’s copper resource will account for 26.2% of its current copper reserves, 18.3% of its present gold reserves and 24% of its zinc reserves.
source: MINING.COM
Top News
Glencore in talks to sell Philippine copper smelting unit
Rasul Khalife Soltani, Secretary of the Iranian Steel Producers Association on the sidelines of the 1403 Steel Symposium:
Mobarakeh steel is producing green steel through scrap recycling
India’s record gold import said to be due to calculation error
Volkswagen buys 9.9% of Patriot Battery Metals for $48 million
Sibanye raises $500m via metals streaming deal with Franco-Nevada
Norge Mining acquires Europe’s largest natural graphite producer
Mercuria partners with Zambia on metals trading venture
Aluminum price falls to one-month low in wider commodity slump
Skeena advances Eskay Creek permitting, unlocks Orion funding
Lure of Anglo’s copper mines could test BHP’s spending resolve
Copper giant Peru foresees another production plateau in 2025
Iron ore price weakens as Australia flags return to sub-$100 prices
Nickel price hits 4-year low as gloom offsets potential Indonesia cuts
Mercuria partners with Zambia on metals trading venture
Sibanye raises $500m via metals streaming deal with Franco-Nevada
Triple Flag to acquire royalty on Tres Quebradas lithium project
Volkswagen buys 9.9% of Patriot Battery Metals for $48 million
Aluminum price falls to one-month low in wider commodity slump
India’s record gold import said to be due to calculation error
Lure of Anglo’s copper mines could test BHP’s spending resolve
Iron ore price weakens as Australia flags return to sub-$100 prices
Nickel price hits 4-year low as gloom offsets potential Indonesia cuts
Sibanye raises $500m via metals streaming deal with Franco-Nevada
Triple Flag to acquire royalty on Tres Quebradas lithium project
Volkswagen buys 9.9% of Patriot Battery Metals for $48 million
Aluminum price falls to one-month low in wider commodity slump
India’s record gold import said to be due to calculation error
Glencore in talks to sell Philippine copper smelting unit
