By Joshua Kirby
ACG Acquisition said Monday that it is acquiring two Brazilian mines in a deal that includes investment from auto makers Stellantis and Volkswagen, as it hones its focus on electric-vehicle metals.
Under the deal, ACG will acquire the Atlantic Nickel mine and the Mineracao Vale Verde copper mine in Brazil from investment firm Appian Capital for a joint-enterprise value of $1 billion, it said. The special-purpose acquisition company, led by Russian metals-industry veteran Artem Volynets, will change its name to ACG Electric Metals as part of the move.
Metals mined at the Brazil sites will be exported to Europe and North America to be refined, and then supplied to auto makers, ACG said. The deal will be funded from sources including an equity investment of $100 million from Jeep-maker Stellantis and a nickel prepayment for the same amount from Volkswagen-owned battery firm PowerCo, as well as another $100 million in equity investment from commodity trader Glencore, ACG said.
Other backers include investors La Mancha and Royal Gold and banks Citigroup, ING and Societe Generale, ACG said. The company will also aim to raise around $300 million via an equity offering, it said.
ACG Electric Metals will be "the only London-listed nickel-sulphide producer with pure-play electric metals exposure," the company said, adding that it will look to further acquisition-led growth and consolidation of its metals assets.
The deal will be put to shareholder vote at a meeting next month, and should be completed shortly afterward, subject to regulatory approval, ACG said.
Write to Joshua Kirby at joshua.kirby@wsj.com; @joshualeokirby
"auto" - Google News
June 12, 2023 at 02:26PM
https://ift.tt/EfeQ1uY
ACG Acquires Brazil EV-Metal Mines With Investment From Auto Makers - MarketWatch
"auto" - Google News
https://ift.tt/Kulpdg2
https://ift.tt/xAup6mR
Bagikan Berita Ini
0 Response to "ACG Acquires Brazil EV-Metal Mines With Investment From Auto Makers - MarketWatch"
Post a Comment