The offer, at $0.05 per share, will be implemented by way of an Australian Court-approved scheme of arrangement, with the target’s shareholders to approve the scheme at a meeting expected to be held in Q3 2025.
The transaction is to be funded from existing Central Asia Metals cash reserves and a new US$120 million credit facility from a syndicate of international banks.
New World Resources, which was yesterday (21 May) in a trading halt pending the announcement, considers the scheme is in the best interests of shareholders and unanimously recommends they vote in favour.
BMO Capital Markets is acting as exclusive financial advisor, Mayer Brown as UK and US legal advisor, and Clayton Utz is acting as Australian legal advisor to Central Asia Metals.
The acquisition will add to Central Asia Metals’ portfolio a 100% interest in the Antler Project, a ‘high-grade’ copper deposit located in Arizona in the US.
In 2024, New World released a Prefeasibility Study (PFS) and maiden probable ore reserve estimate for Antler. The PFS demonstrated a post-tax net present value (NPV) of US$498 million at a 7% discount rate, an internal rate of return (IRR) of 30% and a three-year payback period, while producing an average of 30,000 tonnes of payable copper equivalent per annum over a 12-year life of mine.
Central Asia Metals is a UK-incorporated base metals producer, headquartered in London. The company has been admitted to trading on the London Stock Exchange since its IPO in 2010.
Today it has a market capitalisation of about US$380 million, and base metal operations in Europe and Central Asia.
Write to Adam Orlando at Mining.com.au
Images New World
