- AustraliaNorth AmericaWorld
Investing News NetworkYour trusted source for investing success
- Lithium Outlook
- Oil and Gas Outlook
- Gold Outlook Report
- Uranium Outlook
- Rare Earths Outlook
- All Outlook Reports
- Top Generative AI Stocks
- Top EV Stocks
- Biggest AI Companies
- Biggest Blockchain Stocks
- Biggest Cryptocurrency-mining Stocks
- Biggest Cybersecurity Companies
- Biggest Robotics Companies
- Biggest Social Media Companies
- Biggest Technology ETFs
- Artificial Intellgience ETFs
- Robotics ETFs
- Canadian Cryptocurrency ETFs
- Artificial Intelligence Outlook
- EV Outlook
- Cleantech Outlook
- Crypto Outlook
- Tech Outlook
- All Market Outlook Reports
- Cannabis Weekly Round-Up
- Top Alzheimer's Treatment Stocks
- Top Biotech Stocks
- Top Plant-based Food Stocks
- Biggest Cannabis Stocks
- Biggest Pharma Stocks
- Longevity Stocks to Watch
- Psychedelics Stocks to Watch
- Top Cobalt Stocks
- Small Biotech ETFs to Watch
- Top Life Science ETFs
- Biggest Pharmaceutical ETFs
- Life Science Outlook
- Biotech Outlook
- Cannabis Outlook
- Pharma Outlook
- Psychedelics Outlook
- All Market Outlook Reports
Filo Shareholders Greenlight Acquisition by BHP and Lundin Mining
The deal, valued at C$4.5 billion, will see BHP and Lundin Mining form a 50/50 joint venture focused on the Filo del Sol and Josemaria projects.
Filo (TSX:FIL,OTCQX:FLMMF) shareholders have approved the acquisition of the company by BHP Investments Canada, a subsidiary of BHP (ASX:BHP,LSE:BHP,NYSE:BHP), and Lundin Mining (TSX:LUN,OTC Pink:LUNMF).
The approval, announced on September 26, follows a special meeting of shareholders.
The agreement will see BHP and Lundin Mining form a 50/50 joint venture that will include the Filo del Sol project, owned by Filo, and Lundin Mining's Josemaria project. Both are located in Argentina near the Chilean border.
“Our copper-gold-silver exploration success at Filo has been unmatched since spinning the company out in 2016, and now is the right moment to hand the project off to its next stewards to maximize the potential of this remarkable discovery,” Filo President and CEO Jamie Beck said in a July press release when the transaction was announced.
The acquisition was overwhelmingly approved by Filo shareholders, with 99.99 percent voting in favor.
The arrangement is subject to various closing conditions, including regulatory approvals and a final order from the Ontario Superior Court of Justice, which is scheduled for October 2. If approved, the deal is expected to close in Q1 2025.
Filo shareholders will receive information on how to exchange their shares through a letter of transmittal, which will be mailed to registered shareholders and made available online.
Under the terms announced in July, BHP and Lundin Mining have agreed to pay Filo shareholders C$33 per share, either in cash or in a combination of cash and Lundin Mining shares. Total cash consideration will be capped at C$2.767 billion, while share consideration will be limited to 92.1 million Lundin Mining shares.
Filo, BHP and Lundin Mining have also entered into a subscription agreement for a private placement, where each purchasing party will subscribe for 3.48 million Filo shares at C$33 each, raising approximately C$115 million.
The integration of Filo del Sol and Josemaria is anticipated to strengthen BHP and Lundin Mining's positions in the copper-gold sector and expand their operational footprint in Argentina.
The deal also benefits from recently passed Argentina legislation that supports projects entering the development phase.
Don’t forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
Latest News
Investing News Network websites or approved third-party tools use cookies. Please refer to the cookie policy for collected data, privacy and GDPR compliance. By continuing to browse the site, you agree to our use of cookies.
Giann Liguid is a graduate of Ateneo De Manila University with an AB in Interdisciplinary Studies. With a diverse writing background, Giann has written content for the security, food and business industries. He also has expertise in both the public and private sectors, having worked in the government specializing in local government units and administrative dynamics. When he is not chasing the next market headline, Giann can most likely be found thrift shopping for his dogs.
Learn about our editorial policies.