Cerro de Pasco Resources Announces Sale of its Santander Mine
Cerro de Pasco Resources Inc. (CSE: CDPR) has announced the sale of its Santander Mine in Peru to FIC03 Fondo de Inversión Privado, a Peruvian investment company controlled by Finanzas e Inversiones Corporativas. The transaction, effective August 29, 2024, involves selling the shares of CDPR's Peruvian subsidiary that holds the interest in the Santander mine. The consideration includes a cash component of $2.00 and a variable price of up to $10,000,000, to be determined and paid based on reaching commercial production in the Santander Pipe. This sale aligns with CDPR's strategy to focus on reducing corporate debt. The company will settle outstanding obligations between itself and its subsidiaries over time as part of the transaction.
Cerro de Pasco Resources Inc. (CSE: CDPR) ha annunciato la vendita della sua Miniera di Santander in Perù a FIC03 Fondo de Inversión Privado, una società di investimento peruviana controllata da Finanzas e Inversiones Corporativas. La transazione, efficace dal 29 agosto 2024, comporta la vendita delle azioni della sussidiaria peruviana di CDPR che detiene l'interesse nella miniera di Santander. Il compenso include una componente in contante di $2,00 e un prezzo variabile fino a $10.000.000, da determinare e pagare in base al raggiungimento della produzione commerciale nel Santander Pipe. Questa vendita è in linea con la strategia di CDPR di concentrarsi sulla riduzione del debito societario. L'azienda risolverà nel tempo le obbligazioni pendenti tra essa e le sue sussidiarie come parte della transazione.
Cerro de Pasco Resources Inc. (CSE: CDPR) ha anunciado la venta de su Mina Santander en Perú al FIC03 Fondo de Inversión Privado, una empresa de inversión peruana controlada por Finanzas e Inversiones Corporativas. La transacción, efectiva el 29 de agosto de 2024, implica la venta de las acciones de la subsidiaria peruana de CDPR que posee el interés en la mina de Santander. La consideración incluye un componente en efectivo de $2.00 y un precio variable de hasta $10,000,000, que se determinará y pagará en función de alcanzar la producción comercial en el Santander Pipe. Esta venta se alinea con la estrategia de CDPR de centrarse en reducir la deuda corporativa. La empresa resolverá las obligaciones pendientes entre ella y sus subsidiarias con el tiempo como parte de la transacción.
Cerro de Pasco Resources Inc. (CSE: CDPR)은 페루의 산탄데르 광산을 FIC03 사모펀드에 매각한다고 발표했습니다. 이 사모펀드는 재정 및 기업투자에 의해 통제되는 페루의 투자회사입니다. 이 거래는 2024년 8월 29일부터 효력이 발생하며, CDPR의 산탄데르 광산에 대한 지분을 보유한 페루 자회사의 주식을 판매하는 것을 포함합니다. 거래 조건에는 $2.00의 현금 성분과 최대 $10,000,000의 변동 가격이 포함됩니다, 이는 산탄데르 파이프에서 상업 생산에 도달함에 따라 결정되고 지급됩니다. 이 판매는 CDPR의 기업 부채 감소에 집중하는 전략과 일치합니다. 회사는 거래의 일환으로 시간에 따라 자회사와의 미결 의무를 해결할 것입니다.
Cerro de Pasco Resources Inc. (CSE: CDPR) a annoncé la vente de sa Mine Santander au Pérou à FIC03 Fonds d'Investissement Privé, une société d'investissement péruvienne contrôlée par Finanzas e Inversiones Corporativas. La transaction, effective le 29 août 2024, implique la vente des actions de la filiale péruvienne de CDPR qui détient un intérêt dans la mine de Santander. La contrepartie comprend un montant en espèces de 2,00 $ et un prix variable allant jusqu'à 10 000 000 $, qui sera déterminé et payé en fonction de l'atteinte de la production commerciale dans le Santander Pipe. Cette vente s'inscrit dans la stratégie de CDPR de se concentrer sur la réduction de la dette d'entreprise. L'entreprise réglera au fil du temps les obligations en cours entre elle et ses filiales dans le cadre de la transaction.
Cerro de Pasco Resources Inc. (CSE: CDPR) hat den Verkauf seiner Santander Mine in Peru an den FIC03 Fonds für Private Investitionen bekannt gegeben, ein peruanisches Investmentunternehmen, das von Finanzas e Inversiones Corporativas kontrolliert wird. Die Transaktion, die am 29. August 2024 in Kraft tritt, beinhaltet den Verkauf der Anteile an der peruanischen Tochtergesellschaft von CDPR, die das Interesse an der Santander-Mine hält. Die Entschädigung umfasst einen Barbestand von $2,00 sowie einen variablen Preis von bis zu $10.000.000, der je nach Erreichen der kommerziellen Produktion im Santander Pipe bestimmt und gezahlt wird. Dieser Verkauf steht im Einklang mit der Strategie von CDPR, sich auf die Reduzierung der Unternehmensverschuldung zu konzentrieren. Das Unternehmen wird im Rahmen der Transaktion im Laufe der Zeit ausstehende Verpflichtungen zwischen sich und seinen Tochtergesellschaften begleichen.
- Potential to receive up to $10,000,000 based on future commercial production
- Alignment with strategy to reduce corporate debt
- Divestment of non-core asset to focus on primary operations
- Immediate cash consideration of only $2.00
- Loss of potential future revenue from Santander Mine operations
- Uncertain timeline for receiving the variable price component
MONTREAL, Sept. 03, 2024 (GLOBE NEWSWIRE) -- Cerro de Pasco Resources Inc. (CSE: CDPR) (Frankfurt: N8HP) (“CDPR,” or the “Company”) today announced that it has entered into a share purchase agreement (the “Agreement”) with FIC03 Fondo de Inversión Privado (“FIC03”), a Peruvian investment company controlled by Finanzas e Inversiones Corporativas (“FIC”). FIC specializes in managing alternative and distressed investments across various industries. Under the Agreement, the Company has agreed to sell its Santander Mine in Peru to FIC03 (the “Transaction”).
Guy Goulet, CEO, commented, "The sale of the Santander Mine aligns with our strategy to focus on reducing corporate debt. We thank the Santander team for their commitment and dedication, and we wish them success in executing the projects we have developed together."
Transaction Highlights
Pursuant to the Agreement which is effective as of August 29, 2024, CDPR has sold the shares of its Peruvian subsidiary Cerro de Pasco Resources Subsidiaria del Peru S.A.C., that holds the interest in the Santander mine, including all assets and liabilities associated with it, to FIC03, in exchange for a consideration comprised of a cash component of
The Transaction is an "arm's length transaction".
About Finanzas e Inversiones Corporativas
FIC is a leading firm in private equity fund management in Peru. FIC recently announced an ambitious expansion of its investment portfolio, focusing on large-scale mining projects in the central region of the country. This move is driven by growing international demand for key minerals such as gold, copper, and zinc, where FIC aims to strengthen its market position.
The Santander Mine
Cerro de Pasco Resources acquired the Santander mine in late 2021. In June 2023 the operation underwent curtailment due to macro-economic pressures affecting zinc price. The assets include a 2,500 tonne per day sulfide milling and flotation plant. CDPR developed a consolidated Mine Plan comprising the current resource at Magistral and all the known resources at the Santander Pipe.
About Cerro de Pasco Resources Inc.
Cerro de Pasco Resources is focused on the development of its principal
Forward-Looking Statements and Disclaimer
Certain information contained herein may constitute “forward-looking information” or “forward-looking statements” under Canadian securities legislation. Generally, forward-looking information can be identified by words such as "pro forma", "plans", "expects", "may", "should", "could", "will", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", or variations including negative variations thereof of such words and phrases that refer to certain actions, events or results that may, occur or be taken or achieved. Such forward-looking statements, including but not limited to statements relating to: the ability of the parties to satisfy the conditions precedent to the Transaction; the anticipated closing, timing, benefits and effects of the Transaction; and expected development and operations, involve risks, uncertainties and other factors which may cause the actual results to be materially different from those expressed or implied by such forward-looking statements or forward-looking information. Such factors include, among others, the exercise of any termination rights under the Agreement, inability of the parties to satisfy or waive in a timely manner the conditions to the closing of the Transaction, inability of the Company to realize the benefits of the Transaction, risks related to the exploration, development and mining operations; impacts of macroeconomic developments as well as the impact of the COVID-19 pandemic; and any material adverse effect on the business, properties and assets of the Company. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. The Company will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.
Contact Information
Cerro de Pasco Resources Inc.
Guy Goulet, CEO
Tel.: 579 476-7000
Email: ggoulet@pascoresources.com
FAQ
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