Skip to main content

WHSP sells Round Oak Minerals to Aeris Resources

Published by
Global Mining Review,


Washington H. Soul Pattinson and Co. Ltd has entered into a sale agreement with Aeris Resources Ltd to sell its wholly-owned subsidiary, Round Oak Minerals Pty Ltd for a total consideration of $234 million.

Upon closing of the transaction, WHSP will receive $80 million in cash and $154 million in Aeris shares, resulting in WHSP becoming Aeris’ largest shareholder with a 30.3% ownership interest. Robert Millner, Chairman of WHSP, will join the Aeris Board as a Non-Executive Director upon completion.

The transaction is subject to Aeris completing a capital raise and obtaining shareholder and other approvals. Completion is expected to occur on 1 July 2022.

In addition to the transaction consideration, WHSP is expected to receive total cash distributions of approximately $100 million from Round Oak in FY22 up until completion, following continued strong operating performance at its Jaguar zinc and copper mine in Western Australia and Mt Colin copper mine in Queensland.

The transaction combines two complementary businesses to create an emerging, mid-tier base and precious metals company, with a diverse portfolio of four operating mines and the flagship Stockman development project underpinning an attractive organic growth pipeline.

Todd Barlow, Managing Director of WHSP, comments:

“This transaction represents the culmination of a significant phase of investment in building a substantial base metals business and, through the combination of Round Oak with Aeris, provides a strong platform to continue WHSP’s exposure to copper which is well-positioned to benefit from global trends in electrification and renewable infrastructure.”

Read the article online at: https://www.globalminingreview.com/mining/29042022/whsp-sells-round-oak-minerals-to-aeris-resources/

You might also like

 
 

Embed article link: (copy the HTML code below):


 

This article has been tagged under the following:

Australian mining news Copper mining news